If borrowing money for your debt consolidation is what you're planning to do, then you need to keep track of how much money you're spending. If this is something that you think you are able to do, then you might want to go ahead and apply for a home equity debt consolidation.
Mortgage Refinancing
If you're a homeowner, you can take out a loan against the equity that you have in it, or refinance it so that you can have the equity and use it to pay off your debts. Consolidating your debt in this fashion is the best way to get a low interest rate.
If you decide to refinance, you will want to consider doing a restructure of the loan terms to try and work out a lower interest rate. If you do this you could end up cutting years off your mortgage term, and save thousands of dollars in interest for a minimal fee.
Second Mortgages
You could also use a second mortgage to consolidate your debt. You might be able to get this done if you're not able to refinance, and it can still allow you to pay off your debts. If you can avoid doing it this way you might want to because you will end up having to pay closing costs that are equal to the amount you paid on your original loan.
Line of Credit for Your Home-Equity
Home equity loans are different than a second mortgage, and in fact they work more like an open account kind of like a credit card.The interest rates for home equity loans are usually higher than they would be a second, simply because there are a lot more convenient to get money out of. The interest rates for these loans still isn't that high. This is a really good way to consolidate your debts and get your outstanding balances is paid off.You need to be careful when you get a home-equity loan, so that you don't use it to build more debt, but instead use it to pay down the debt that you do have so you can breathe a little easier.
All of these are truly great ways to get rid of the high interest burden from credit cards off of your back. If you have any equity in your home at all, and are struggling to meet those monthly bill payments, then it may be a good idea for you to apply for a home equity debt consolidation loan today.
Mortgage Refinancing
If you're a homeowner, you can take out a loan against the equity that you have in it, or refinance it so that you can have the equity and use it to pay off your debts. Consolidating your debt in this fashion is the best way to get a low interest rate.
If you decide to refinance, you will want to consider doing a restructure of the loan terms to try and work out a lower interest rate. If you do this you could end up cutting years off your mortgage term, and save thousands of dollars in interest for a minimal fee.
Second Mortgages
You could also use a second mortgage to consolidate your debt. You might be able to get this done if you're not able to refinance, and it can still allow you to pay off your debts. If you can avoid doing it this way you might want to because you will end up having to pay closing costs that are equal to the amount you paid on your original loan.
Line of Credit for Your Home-Equity
Home equity loans are different than a second mortgage, and in fact they work more like an open account kind of like a credit card.The interest rates for home equity loans are usually higher than they would be a second, simply because there are a lot more convenient to get money out of. The interest rates for these loans still isn't that high. This is a really good way to consolidate your debts and get your outstanding balances is paid off.You need to be careful when you get a home-equity loan, so that you don't use it to build more debt, but instead use it to pay down the debt that you do have so you can breathe a little easier.
All of these are truly great ways to get rid of the high interest burden from credit cards off of your back. If you have any equity in your home at all, and are struggling to meet those monthly bill payments, then it may be a good idea for you to apply for a home equity debt consolidation loan today.
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If you would like to learn more about debt consolidation then visit http://www.mydebtconsolidationsite.us for more details.
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