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Many people turn to debt consolidation to simplify their financial obligations, often by taking out a second mortgage, an unsecured loan, or using a storefront finance service. However, this can result in higher interest rates and not address the root cause of overspending and lack of budgeting. In fact, 88% of people who opt for debt consolidation continue to overspend and accrue more debt. Borrowing more money does not solve the underlying issue of poor financial habits.