consolidation loan

consolidation loan

noun
a loan made in order to consolidate several debts into one loan, usually for the purpose of reducing the monthly payments by extending them over a longer time period.
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Based on the Random House Dictionary, © Random House, Inc. 2012.
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World English Dictionary
consolidation loan
 
n
a single loan which is taken out to pay off several separate existing loans

Collins English Dictionary - Complete & Unabridged 10th Edition
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