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Debt Help and Loan Consolidation Comments        Here are some visitor's comments on consumer debt help, debt management, loan consolidation and home equity loans:
"With the low rates offered on many home equity loans today (4-6%) the only reason you SHOULDN'T use your equity line to pay off cc's is if you do not intend to pay down your balance...ever. On the HELOC, you interest is tax deductible if the lien is on your principal residence, and you'll be able to essentially consolidate your cc's....usually with no closing costs whatsoever. I thought most of this advice was very good for the average credit card holder get debt help. Thanks :)" 11:27 AM on 11/05/2006 by "MoM" When in debt sometimes it works to do whatever you can to lower those monthly payments as a whole, so using your home equity after refinancing is fine as long as you can make the payments. Sure paying the bills every month will keep you out of debt but when you are already deep in cc debt that won't work. Also, not everyone has the means to pay off all the bills as they arrive. I try to pay them when they show up but I only get paid twice a month instead of weekly, so it's not always possible to pay right away. When we let ourselves get so deep in debt we have to do anything it takes to get out and that includes the possibility of using our home equity. It seems to have worked for many people here." 09:53 AM on 11/10/2006 by "Anonymous" My husband is a mortgage consultant. He helps people get out of debt everyday. It is beneficial to refinance your home if used wisley. For example, you can lower your mortgage rate, pay off bills, and have cash in pocket for other expenses, and still come out paying less in a monthly payment than you would pay on each individual cc bill per month. The mistake that any people make is not using home equlity that is available to them to their benefit. Please do your home work before dismissing a suggestion. 14:41 AM on 11/17/2005 by "momo" Getting out of debt isn't easy, but you can do it. If you've got the income and your debts aren't impossible, so I would personally try to eliminate the debts without touching my equity in my house. ;o) 11:54 AM on 02/02/2007 by "KellyW" Return from Debt Help to Home page.  DISCLAIMER: The law varies depending on your state, jurisdiction and the specifics of your case. The information provided by Consolidate-Credit-Card.Net on Debt Help is intended for educational purposes only. All the content on this website should NOT be considered professional advice or a substitute for professional advice. For such services, we recommend getting a consultation by a licensed debt counselor in your state. |
I believe that using your home Equity to payoff your balance may be a good thing. We tapped into our home equity paid off about 12k in cc dept. and saved several hundreds of dollars a month in cc bills. By refinancing out mortgage, we reduced our home interest rate and monthly payment. In the end, we learned an important lesson and vowed never to find ourselves in this predicament. CC dept. creeps up on you until one day you ask yourself how am I ever going to pay this back. 1:42 PM on 11/02/2005 by "Anonymous"