01. Monthly savings, line by line.
Every debt listed with its rate and payment, before and after.
One payment. A lower rate. A plan so it doesn't happen again.
Moving credit card and loan balances into your mortgage can cut the rate from around 20% to a mortgage rate and free up hundreds a month. It also stretches short-term debt over 25 years. Without a plan for the savings, you can pay more in total and end up back on the cards. I show you both numbers before you sign anything.
Every debt listed with its rate and payment, before and after.
What the debt costs if you pay the new minimum, and what it costs if you keep paying the old amount.
Breaking your mortgage early can cost thousands. We price it before deciding.
Refinance, HELOC, or second mortgage, matched to your file.
A target to be debt-free, not just a smaller payment.
If a balance transfer or a bank consolidation loan is cheaper, I'll tell you.
Replace your mortgage with a bigger one, up to 80% of your home's value. Best when your penalty is small or renewal is close.
A credit line secured by your home. Most lenders cap the line at 65% of your home's value, and 80% with your mortgage combined. Flexible, but it takes discipline.
A separate loan behind your current one, so your first mortgage rate stays put. Higher rate, short term.
Consolidate with no penalty when your term ends.
A line of credit secured by your home. Borrow, repay, borrow again. You only pay interest on what you use, usually at prime plus a margin. It's great for renovations or an emergency cushion. It's risky for consolidation if the cards stay open, because the room comes back.
“Consolidating fixes the interest rate. It doesn't fix the spending. We build a plan for both, or the problem comes back with a mortgage attached.”- Jeremy LaHaie
A new application can dip your score a few points. Paying off maxed-out cards usually helps more than that over time.
A refinance can generally go up to 80% of your home's value. Example: a $400,000 home with $250,000 owing leaves up to $70,000 before costs.
Not always. Closing old cards can shorten your credit history. Lower the limits or put them away. What matters is the balance stays at zero.
Often yes, through alternative lenders at a higher rate.
A refinance gives you a fixed payment that pays the debt down. A HELOC's minimum can be interest only. For consolidation, most people do better with a structure that forces paydown.
A possible prepayment penalty, legal fees, and sometimes an appraisal. Alternative and private lenders add fees. All of it in writing before you commit.