Consolidating credit cards calculator
This is because consolidating high interest debt – like credit card balances and auto loans – into a low interest mortgage can save you thousands in interest payments.Mortgage loans come with the lowest interest rates because they are securitized; or in other words, they are backed by an asset – your home.You can stop the plan at any time, and you can also pay more -- and get out of debt faster -- when you have extra funds. You wouldn't, which is the reason consolidation begins with a counseling appointment where your entire financial situation is assessed.If you have enough cash left over after subtracting expenses from income, consolidation will be presented along with other options. How do you know if a debt management plan will work in your favor?Many of us have been where you are today, and understand the emotional burden that debt can place on a person.
And third, you need to have just enough money for essential expenses, some savings and your debt. While you're on the plan, your payment remains constant.In Canada, this is determined by taking 80% of your home’s value and subtracting any existing mortgage balance.