Like most of us, you probably have a car payment, some credit
Using the money in your home to consolidate all of your debt is a winning solution. Combining all of your debts and adding them
For one, the interest rate and amount of interest you pay is lower overall. Interest paid on credit cards can range from 10% to as high as 29% interest! This rate is compounded monthly as opposed to the semi-annual compounding period you get with a mortgage.
Perhaps the biggest advantage though is the monthly payment. By adding your debts to you mortgage, you can capitalize on a very low monthly payment. This can often give you the breathing room needed to put a plan
Here is an example of what refinancing can do to your monthly payments:
TYPE OF LOAN
Line of Credit
Credit Card #1
Credit Card #2
*This example is based on a total debt of $142,000 refinanced on a fixed rate mortgage set at 3.9% and on a
By consolidating your debts you can save thousands each year in interest alone. You will keep your credit rating in good shape by not missing any payments and eliminate late fees and penalties.
With interest rates still near an