According to the bankers association of Canada, monthly payments should not be more than 15% of your monthly gross income (after taxes).

To be eligible, you need to meet certain conditions:

• Have a good credit rating, as in you are not too late in beginning the process of eliminating your debts
• An excessive debt load that does not surpass 40%
• A stable job

Attention

• Financial institutions sometimes require someone to co-sign in case of any circumstances in which you default on your payment. With our experience, default payments rarely result in the lack of willpower or desire to make the payment, but are simply due to being financially incapable. Therefore, all of your willpower would not be substantial enough to protect the person who co-signs your consolidation loan.
• Be assured that the interest rate that you ask for will not be higher than the rate of the majority of your debts; otherwise the main goal has not been reached.
• You would be required to make your monthly payments, which is where your budget helps you ensure that you are capable of making said payments.
• Once you are consolidated, do not put yourself in a new debt! It happens often that people fall into new debts using their credit cards. New debts add loan consolidation and create additional burdens. Financial institutions rarely loan out a second time for someone who has consolidated!