Debt Consolidation Loans / Mortgages

Debt consolidation loans and mortgages

As an alternative to bankruptcy, personal loan arrears and credit card debt, taking out a secured debt consolidation loan provides one method of managing your debts. Debt consolidation remortgages, where a loan secured against your home is used to pay off other debts, is a common way of controlling your monthly expenditure and managing your finances and fending off insolvency. Many people will use a debt consolidation mortgage to release some of the equity in their homes to not only pay off existing debt but to also to begin to restore a damaged credit history.

"Our debt was out of control and we were using credit cards to pay the mortgage. By consolidating all of our debts into one loan, secured on our home, we were able to use the money to pay off everything we owned and had some left over to replace our old car."

Securing a loan against your property is not something that should be entered into lightly and your existing mortgage provider will need to know that there is another interested party being registered on the deeds of your property. Loans to pay off credit cards are becoming more frequent as people struggle to repay their debts. QuoteRack will introduce you to specialist financial advisers who may be able to assist you in arranging a debt consolidation mortgage.

"We knew that we may have to pay a slightly higher interest rate than a normal mortgage but it was worth it to ease the credit card debts we had run up over the last couple of years."

You may also be interested to see other QuoteRack categories such as income protection insurance and critical illness protection.

Debt consolidation mortgages - links

Consumer Credit Counselling Service

A registered charity, CCCS helps those seeking debt counselling in strictest confidence.

Counselling Directory

Useful information and advice on debt management.

United Life

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