Just because you may be in a mountain of debt with lenders and creditors does not mean that you can’t eventually experience financial freedom. You just have to know how to do it, and sometimes, you just need a little push in the right direction. This is where Access Mortgage comes in. Our professional team can help you get on the path of financial freedom through various strategies that are meant to improve your credit, as opposed to damaging it for many years. Consider consolidation in Kitchener at Access Mortgage if you are looking for debt relief. DO NOT go down the path of bankruptcy, consumer proposal, or credit counselling! These methods can severely damage your credit for up to 7 years. Read on for more information about consolidation in Kitchener at Access Mortgage.
Access Mortgage can help you become debt free through various strategies that are meant to improve your credit score. Let’s take a closer look at what these strategies are, and how they can help you become debt free!
Debt Consolidation Loan:
A debt consolidation loan pays off debt because a lender will loan you the money to pay off your existing debt by lending you the money you need to do that. For example, if you have 3 credit cards and you owe a combined $20,000 on them, when you ask your lender for a consolidation loan, if you qualify, they will lend you the $20,000. Then, typically, they will pay off your existing credit cards with the money, close those credit card accounts, and then you make one monthly payment to your lender for the $20,000 you borrowed. Unfortunately, what can happen if you don’t have a realistic household budget that you actively use, after a few months of making loan payments, you are struggling again and re-apply for new credit cards. When this happens, you can actually end up doubling your debt, rather than paying it off with a consolidation loan.
Refinancing works by giving a homeowner access to a new mortgage loan which replaces its existing one. The details of the new mortgage loan can be customized by the homeowner, include the new loan’s mortgage rate, loan length in years, and amount borrowed. Refinances can be used to reduce a homeowner’s monthly mortgage payment; to take cash out for home improvements; and, to cancel mortgage insurance premiums, among other uses.
Home Equity Loan:
Home equity loans allow you to borrow against your home’s value. They provide access to large amounts of money, and they can be easier to qualify for than other types of loans because they are secured by your house. If your home is worth more than you owe on it, a home equity loan can offer funds for anything you want, you don’t just have to use the money for home-related expenses. Many people use a home equity loan to pay off debt.
For more information about how consolidation in Kitchener, at Access Mortgage, can help you achieve debt relief, please feel free to continue browsing through our website. Click here to find our contact information and to fill out our contact form.