Debt can feel overwhelming, and the ability to get ahead on bills may seem insurmountable due to interest rates. Trying to match multiple payment schedules to your budget while responding to different debt collectors and having enough to get by can feel like running up an escalator that’s going down rapidly. Debt consolidation can break through that noise and allow you to gain control over your finances. Here’s your chance to learn what debt consolidation is and how you can consolidate your debt through our Equihome Advantage Program and finally get that peace of mind you deserve.
What Is Debt Consolidation?
Debt consolidation is when a person combines all of their debt into a single monthly payment. Rather than getting overwhelmed by multiple credit cards, bills, and payments, all debt is combined into one, easy-to-manage, loan. This can help save hundreds or even thousands monthly on payments and even more in interest over the life of the loan.
What Are the Benefits of Debt Consolidation?
The biggest benefit of debt consolidation is that it simplifies debt and saves on interest payments. Rather than dealing with multiple debt agencies, high interest and adjustable interest revolving debts, and juggling a budget that needs to incorporate several payment schedules, consolidation gathers and centralizes your debt, so it is in one easy-to-manage location and allows for a 'blended' rate which aggregates various rates into one.
Consolidated debt is easier to manage, and often comes with a lower interest rate and a longer payment schedule, allowing you to get back on your feet and not feel overwhelmed by debt. It can give you the ability to make additional principal payments and pay off your total debt sooner which will help save additionally and your credit scores will sky rocket.
What Type of Debt Can Be Consolidated?
Any loan or line of credit that was extended can be included as part of the debt consolidation process. Options can include:
Mortgage Loans
Home Equity Loans
HELOCs
Personal credit cards
Retail, department store, and gas credit cards
Student loans
Payday loans
Medical and hospital bills
Court judgments
Back rent
Utility bills
Cell phone bills
Income taxes
Personal lines of credit
What Are the Different Forms of Debt Consolidation?
When deciding how to consolidate your debt, you have to know what options are available to you. There are two categories that we recommend through utilization of the equity in your home.
Cash-Out Refinance
This is our 'go to' option as it allows you to consolidate all debt into one low monthly mortgage payment. This option has more flexibility when it comes to credit and getting you back on track with your finances. Check out our breakdown on how we get this done at: www.equihomemortgage.com/equihome-advantage
Home Equity Loan
A home equity loan is one form of secured debt consolidation. A home equity loan is a second mortgage, which allows you to borrow against your home’s equity. The loan amount is based on the difference between your home’s market value and the current balance due on your mortgage. The value in this option comes from the ability to borrower up to 90% loan-to-value. To learn more about our Home Equity Loan Programs visit: www.equihomemortgage.com/homeequity
Equihome Can Help with Debt Consolidation
Equihome provides debt consolidation loans that are designed to help you get out of debt. We offer customized options for every customer to fit your needs and help you get the money you need when you need it.
No matter your situation, our loan advisors have the ability to provide you with a personalized plan and path to finally getting ahead on your bills and changing the trajectory of your financial future forever.
Contact us today and find out how Equihome can help you with your debt consolidation journey.