Debt consolidation loans are simply standard loan programs with an amount of “cash-out” received when the loan closes. You can use this cash to pay off credit cards, student loans, upgrade a kitchen or bathroom, or to buy other property. These are just a few examples, as the options are nearly limitless. The main benefits are:
- Mortgage interest, to certain limits, is tax deductible. Interest on consumer debt, such as credit cards, is not.
- Consumer debt has a much higher cost to carry, the interest rates are multiples higher than a rate on a home mortgage loan.
- Make one low monthly payment on a mortgage instead of many to several creditors, and pay less overall.
CA Mortgage Pro offers excellent rates and financing options on debt consolidation/”cash-out” loans. For more information or with any questions you may have about debt consolidation/”cash-out” loans, please contact CA Mortgage Pro today.
