How David saved almost $12,000 by consolidating his credit card debt.

Today many clients are using second mortgages to consolidate debt, payout balances owning to CRA, pay for home renovations, and access home equity for many other purposes.  Many clients benefit from keeping the remaining term on an existing mortgage at a fixed rate (remember 2.69%?) and avoiding the penalties and documentation required to refinance.

David approached us a few months back to consolidate $60,000 of debt he had accumulated on number of credit cards due to a family emergency and him being temporarily off work.  In addition to helping improve David’s credit score and relieve him from a lot of stress, consolidate the credit card debt with a second mortgage will save David close to $12,000 in interest over the 2 years remaining on his mortgage.

Credit card interest is often compounded daily, which means the 19.99% advertised rate works out to 22.12% annual percentage rate (APR).

With exclusive access to the lowest second mortgage rates in Canada we have been helping a lot of clients like David save money.  With a 4.99%, which works out to an annual percentage rate of 12.94% (including all lender fees, broker fees, legal fees, and appraisal fees) many clients can save money, reduce stress and improve their credit scores by consolidating debt.

The result for David was saving almost 10% on $60,000 for 2 years, or almost $12,000.  Please let me know if you are struggling with credit card debt, there are very simple solutions available for homeowners.

Give me a shout if you want to understand your options 416-769-1440 or email Kevin@directionmortgage.ca with any questions.