There are two kinds of payday loan consolidation. The first kind of payday loan consolidation requires you to take out a new loan to pay off your existing loans. If you have bad credit, this type of loan can be hard to get. The 2nd kind of payday loan consolidation helps you manage the payments on your existing loans, but is not a new loan. That's an important distinction. A debt management plan is the type of loan consolidation that reduces the payments on your loans without having to get a new loan.
Most companies such as RealPDL with a specialty in debt relief and credit counseling do not loan money. We do our best to negotiate lower interest and fees with your creditors and get you in an affordable repayment program with a single monthly payment to cover your debt. That single payment is distributed to your lenders on an agreed monthly schedule with an administrative fee kept by the program. We have extensive relationships to payday lenders in nearly every state, which allows us to negotiate the best terms for our clients, maximizing the money saved over the course of the loan repayment term.
Your creditors are not required to sign on to your repayment program. However, they have strong incentives to cooperate, especially after we kick them out of your bank account -- a loan that isn't repaid doesn't do anybody any good.