Debt Consolidation

Debt consolidation, also referred to as 'refinancing', is quite common these days. It's not because more people are in debt, it's simply because it just makes sense.

Pulling equity out of your home at today's great interest rates can save you as much as 17% a month in interest charges!

The valuable equity that you may already have in your home can be used to consolidate high interest credit card debts, credit lines and even car loans.

In the past, for a client to consolidate credit card and loan debts, a second mortgage was your only choice. Did you know second mortgage rates can be as high as 19%?

Today, you can top up your existing mortgage to incorporate those debts and remove the debt load without having to take out a second mortgage. Why would you choose that expensive avenue over refinancing at today's 5-year rate..

The Mortgage Centre will guide you through a painless process to get you on the road to a debt free lifestyle.

Actual Example 1

The Mortgage Centre helps many clients every month, leverage the equity in their home to consolidate the debt and lower their overall payments. The following example was the case for one of our clients. It clearly shows the money they were able to save each month.

As this example shows, we were able to refinance their existing mortgage before the term was up and get them the money they needed to pay off all debts and lower their monthly mortgage payment by $122.52. So they saved a total of $522.52 per month and have been able to put that extra money into an investment account for their retirement.

 Actual Example 2

104% REFINANCING EXAMPLE

Before example rates: 1st mortgage 6.00% with 25 year amortization, 2nd mortgage 12.50% with 15 year amortization, Credit Cards 10.50% with 3% minimum payment on outstanding balances. Loans 8.50% with 3 year amortization

100% mortgage financing will allow you to increase your monthly payment by up to 20% to a total of $2,214.26 which will still provide you with a total monthly savings of approximately $1,000 and effectively reduce your amortization to just over 16 years!
You can also prepay up to 20% of the original loan amount on each anniversary

Your next step...

In order to take advantage of this program you must be a home owner and have at least 10% equity or more in your home. If you have any concerns or questions please include them in the application/comments section or email us directly.

The best way to determine whether debt consolidation is the right avenue for you is by calculating what your monthly debt payments total. Include all loans, lines of credit, credit cards and your mortgage. Take that amount and divide it by your gross total monthly income. If the number is higher than 0.50 then don't leave this site. If you are below 0.50 we can still help save you money.

Fill out our Online Approval Application and let us do the leg work for you. The secret is to determine at an early stage whether debt consolidation is the best route for you.