Omozing Answers › Loan apps and consolidation

How much could consolidating four app loans save me?

It depends mostly on how long you would otherwise keep rolling them over. Four app loans of ₹1 lakh in total can cost about ₹28,000 a month in extension fees and interest without reducing what you owe. One 12-month consolidation loan in our illustration costs about ₹24,000 in total. If you could clear the apps from next month’s salary, the saving is small. If you would roll them over for six months, it is roughly ₹1.4 lakh. All figures are illustrative.

Written by the Omozing Credit Team, which includes IIT and IIM alumni · Reviewed for accuracy by our credit and compliance team · Updated October 2026

What changes the answer

Months of rollover avoided

The biggest lever. Each extension buys 30 days and repays nothing, so the cost repeats every month.

Each app’s fee and daily interest

Apps price differently. A 10% extension fee on a 30-day loan is a large cost once it repeats.

The consolidation EMI and APR

Compare the full cost in the Key Fact Statement, including the processing fee, not just the EMI.

Whether you stop borrowing from apps

Savings vanish if new app loans replace the old ones. How the cycle restarts.

An example: Rahul’s four apps

Rahul is an illustrative profile, not a real customer. He takes home ₹58,000 and has four 30-day app loans worth ₹1,00,000. He cannot repay them all on payday, so he pays each app’s extension charge to roll it over. Each app’s terms are illustrative too.

App loan	Amount	Extension fee	Interest for 30 days	Cost of one rollover
App A	₹15,000	12% · ₹1,800	1% a day · ₹4,500	₹6,300
App B	₹20,000	10% · ₹2,000	0.8% a day · ₹4,800	₹6,800
App C	₹25,000	8% · ₹2,000	0.6% a day · ₹4,500	₹6,500
App D	₹40,000	6% · ₹2,400	0.5% a day · ₹6,000	₹8,400
Total	₹1,00,000	₹8,200	₹19,800	₹28,000 a month

After paying ₹28,000, Rahul still owes ₹1,00,000. A consolidation loan works the other way round: on the same illustrative basis as our SmartSwitch example (one EMI of about ₹7,750 for 12 months per ₹75,000 consolidated), his EMI would be about ₹10,333. After 12 EMIs, about ₹1,24,000 in all, the debt is gone. The cost above what he borrowed is about ₹24,000.

Total paid beyond the ₹1 lakh borrowed

Illustrative only. App terms are made-up examples. The consolidation EMI uses our illustrative SmartSwitch example scaled to ₹1 lakh; it is not a SmartSwitch price or rate. Your actual EMI, fee and APR appear in the Key Fact Statement.

If Rahul would otherwise roll over for…	App charges	Consolidation cost	Illustrative saving
1 month, then clear from salary	₹28,000	₹24,000	₹4,000
3 months	₹84,000	₹24,000	₹60,000
6 months	₹1,68,000	₹24,000	₹1,44,000
12 months	₹3,36,000	₹24,000	₹3,12,000

The monthly cash flow tells the same story: ₹28,000 to stand still versus ₹10,333 to finish. Run your own numbers in the loan-app cost calculator or the SmartSwitch calculator.

When it gets harder, and what helps

You could genuinely clear the apps within a month: consolidating then saves little.
A new app loan appears a few weeks later and the savings disappear.
You compare only EMIs and ignore the processing fee and APR.

Write down each app’s extension fee and daily interest from its loan statement before deciding.
Count how many months you have already rolled over; that is your best guess at the future.
Uninstall the apps once the loans are closed and the closure letters are in hand.

How lenders look at it

A consolidation lender reads your credit report and your salary-account statement to see the app loans, how often they were extended, and whether any payment was late. It then checks that one EMI fits your take-home alongside your other EMIs. Showing that the money will close the app loans, and that you will share the closure letters, matters as much as the score.

At Omozing

SmartSwitch consolidates several short-term loan-app loans into one Omozing loan with one EMI, so you deal with one lender and one due date. The money goes to your own bank account; you close each app loan and share the NOCs. A credit officer reads your full credit report, not just the score.

What most people get wrong: they judge consolidation by the EMI alone and think ₹10,333 a month sounds expensive. Compare it with what the apps take every month while the balance stays the same. The rollover charge is the true monthly cost of doing nothing.

Paying extension fees every month?

See what one EMI would look like, or build a step-by-step plan to close your apps.

See how SmartSwitch works Make a loan-app exit plan

Frequently asked questions

Is consolidating app loans always cheaper?

No. If you could repay every app on the next payday without borrowing again, the saving is small. It pays off when the alternative is months of rollovers.

What does ₹75,000 across three apps cost in a year?

In our illustrative example, about ₹30,000 a month in fees and interest when rolled over, against one EMI of about ₹7,750 for 12 months, leaving about ₹3.4 lakh kept over the year.

Should I include a small app loan that is due next week?

If you can clear it from salary without rolling it over, clearing it directly is usually simpler. See which app loan to repay first.

How do I find what each app really charges?

Check the Key Fact Statement and the loan statement in each app for the processing or extension fee and the interest charged, then add them up per 30 days.

Where are all the loan-app questions?

See our loan apps and consolidation FAQ.

Next questions people ask:

Can I combine several loan-app loans into one personal loan? Does debt consolidation hurt or help my CIBIL score? Can I get a consolidation loan with five or more app loans?

Omozing is the digital lending brand of Aparampaar Finance Private Limited, an RBI-registered non-deposit-taking NBFC. Loans are subject to credit assessment. See our regulatory disclosures and grievance redressal process.