Home Owners can pay off High Interest Credit Cards

Home Owners can Apply for a home equity line of credit or a Home equity loan to pay off debts such as those annoying high interest credit cards which never seems to go down. A home equity loan is when money is borrowed in a lump sum and money must be paid immediately after being dispersed. A home equity line of credit is a credit line where you only pay for what is used. both loan and credit line is based on the equity you have in your home and is based on theWall Street Journal prime rate which is currently 8.24%. The Credit lines are not second Mortgages, they usually have no application fees, no annual fees and no closing cost.


The credit line can be used for any purpose, think about paying all those debst off and having one bill, or that dream vacation you were always planning on taking or in the case of the Equity line of credit A nest egg or spare tire where you keep the money is case of emergency.

The Equity loan and line is the best way to consolidate all your accounts and the payments are usually low, it is does not increase your current mortgage. Don't go to a credit counseling agency to consolidate your bills because that will show on your credit report that you recieved counciling and your rating will probably be lowered, that should be used as a last resort.

So if you are drowning in debt of high interest credit cards and you are a homeowner head over to your local bank and ask for a Home equity line of credit or a home equity loan.