Posted on
August 28, 2009
at
3:41 am
Share your opinion on adding debt to a mortgage here. Is it really a convenient way to consolidate your debts into one and save on interest payments?
Posted on
August 28, 2009
at
3:43 am
Is adding debt to a mortgage the same as remortgage?
Posted on
August 28, 2009
at
3:56 am
First, is mortgage a loan? If so then adding debt to a (loan) is like = debt + debt.Doesn't look like a good deal to me...
Posted on
August 28, 2009
at
4:08 am
A mortgage is the money that you borrow to buy a home, and then that home that you just bought is going to be the collateral for that borrowed money.To remortgage is to pay off your current mortgage with the proceeds from a new mortgage, using the same home as collateral. So maybe adding debt to a mortgage is the same as remortgage...and I don't have an opinion as to if it is wise to do that or not.
Posted on
August 28, 2009
at
4:17 am
Adding debt to a mortgage - would it solve the consumer's financial problems? I think not. It will help manage it though. If the consumer is thinking of consolidating his/her debts via remortgage, it means that his/her amount of debt would increase. Question is why is there a need to remortgage?
Posted on
August 28, 2009
at
4:30 am
Adding debt to a mortgage - why is there a need for this?It could be that:-the old deal with the lenders have expired-that old deal is not good-they need to raise some extra cash.
Posted on
August 28, 2009
at
4:42 am
Here's one argument against adding debt to a mortgage:The typical repayment period for a mortgage is 25 - 30 years. If you add another debt into that mortgage the mortgage size would increase and so is the time to pay it back. And over the course of the mortgage, the total interest payments could get higher. So adding debt to a mortgage here translates into you having a higher debt amount and a longer period to pay.
Posted on
August 28, 2009
at
4:48 am
So if the consumer's reason for adding debt to a mortgage is to pay off unsecured debts like the credit card - my opinion is, it's probably not the best way to go.There are other ways to consolidate unsecured debts. There is credit counseling - for debts below $10,000 (with high interest rates) and then debt settlement - for debts above $10,000 (on past due accounts).If you'd like to speak with a debt consultant for free- just fill out a form here at destroydebt.com and find out which debt relief solution is the right one for you.
Posted on
October 14, 2009
at
5:19 am
Adding debt to a mortgage, just like filing bankruptcy, should be the last resort for the consumer. Add borrowing from the 401(k) to this list.
Posted on
October 16, 2009
at
6:00 am
The consumer should really see a financial or debt expert first before adding debt to a mortgage. The consumers should not be afraid of initial consultations especially if they are free. There's much to lose for non-consultation and a lot to gain for getting a sound professional advice.
