Yes, you can consolidate your other debts in your current home loan if you meet the following criteria:
- On time home loan repayments for the past six months.
- On time credit card and personal loan repayments for the past three months.
- No missed repayments on any credit facility with the bank that you are applying with.
A car loan or personal loan will have a short-term, and credit cards have high rates, so your repayments are comparatively higher even though you're not borrowing as much as a mortgage.
Home loans have a lower rate and a longer term so the repayments are much lower.
A debt consolidation loan provides many advantages including:
- Making affordable repayments by paying a lower interest rate.
- Managing your debts more effectively as only a single combined payment needs to be made.
- Preventing creditors from pursuing your funds.
- Protecting against the risk of bankruptcy.
- Improving your savings position and cash flow.
If you're drowning in debt, then you'll be stressed out and it may affect the rest of your life. Rolling everything into one repayment each month lifts the weight off of your shoulders.
Please enquire online or call us on 1300 889 743 and explain your situation so we can help you get approved for a debt consolidation loan.
Cheers,