What You Should Know About Debt Consolidation

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What You Should Know About Debt Consolidation
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• If youve got debts to pay off and are struggling
  to manage them, you might want to consider debt
  consolidation.
• Debt consolidation can be an effective method of
  making your debt repayment easier to manage, and
  is basically the paying off of smaller loans,
  with a larger one. The large loan enables you to
  pay your smaller loans in one go, and ideally
  with a more favorable interest rate than your
  other loans, making it both quicker, and cheaper
  to repay.

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• Using your mortgage to consolidate your debt
• There are a number of different ways to
  consolidate your debts, but if you own a home in
  Canada, you can use a mortgage to do so.
• Being smart about consolidation
• Consolidation is a great idea, provided you have
  a payment plan in place that youre able to stick
  to, and there are a few other things to consider,
  too

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• Your debt consolidation loan should have a lower
  interest rate
• Repayment should be made easier with debt
  consolidation, and not make you struggle even
  more than you already were, and many people find
  it helpful to consult with a financial advisor,
  to be sure they get the interest rate, fees and
  duration they want.
• Pay above the minimum monthly fee
• Doing this whenever you can, enables you to make
  your payments faster and easier, and helps you to
  stay afloat should you be faced with any
  challenges to your income.

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• The different ways you can consolidate your debt
• As mentioned previously, there are several ways
  to consolidate your debt, and using your mortgage
  is just one of them
• Mortgage refinance using your existing mortgage
  to consolidate your debt can be a good idea, but
  it does involve breaking your current mortgage
  early, which typically comes at a cost in the
  form of a penalty.
• Refinancing your home mortgage enables you to
  access 80 of your homes value once the
  remaining mortgage has been deducted, and with
  that sum, you could combine your mortgage and any
  other amounts into a single debt.

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• Use your first mortgage it is possible to
  consolidate the amount you owe with your first
  mortgage, but you will likely be under intense
  scrutiny from your lender.
• Home equity loan with a home equity loan, you
  can access the available equity in your home, and
  this can be calculated by removing your homes
  current market value from the remaining amount
  youll pay as a balance. With your available
  equity, you can consolidate your owed amount and
  pay them all off at once.

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• Debt consolidation loans helping you to combine
  all of your loans into one, these are obtained by
  a credit union, bank, or similar financial
  institution. The rate you get for your loan
  depends upon your collateral, however, and using
  your home will help you get the lowest interest
  rate, along with a good credit score.
• Using your mortgage to consolidate your debt can
  work for some homeowners, but its best to talk
  through the pros and cons of this with a mortgage
  broker, or financial adviser before making any
  decisions.

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• Mortgage-broker-Calgary is your best resource for
  finding a mortgage for your property. Luke Wile,
  is one the best mortgage brokers in Calgary and
  is proud to serve clients from across Canada,
  while being centered in Calgary, Alberta. Luke is
  proud to serve his clients with a personalized
  approach to finding his clients the best and
  lowest Canadian interest rates and terms offered
  by the major banks and private lending
  institutions. If you are looking for a Calgary
  mortgage specialist, with Luke Wile you can get
  fast and personal expertise for your mortgage.
  Contact us today!