Debt Consolidation Mortgage
Did you know that you can unlock the equity that you have built up on your home to consolidate your high interest debt? Secured debt is significantly less expensive than your traditional 19-27% credit cards. By accessing your home equity, you can save thousands of dollars per year in interest costs.
Here’s an example. Jaime works full-time as a social worker, but she was out of work for almost a year because of an injury outside of work. During this time, she depleted her savings, maxed out her credit cards, and had some of her accounts in collections. Her credit score took a major hit and was constantly harassed by debt collectors.
Jaime came to us for help. We were able to pay off all her outstanding unsecured debts and consolidate them into 1 low monthly payment. We got our client 2 new secured credit cards, and were able to repair her credit within 12 months.
| Home Value: | $660,000 |
| 1st Mortgage Balance: | $324,000 |
| Home Equity Loan Amount: | $35,000 |
| $20,000 Visa Card Debt: | PAID |
| $5,000 High-Interest Payday Loan: | PAID |
| $3,500 Debt in Collections: | PAID |
| Credit Score Before vs. Now: | 544 vs. 672 |
| Payments Before vs. Now: | $875 vs. $291 per month |
| $7,008.00 saved at the end of 1 year |
