Did your Christmas spending get out of hand this year? You are not alone! According to a recent news report, our 2018 Christmas spending binge is expected to leave us with a $29.7 billion credit card debt – that’s equivalent to $1,863 per credit card!
Debt consolidation is a way of potentially reducing the amount of interest you pay, making your debts more manageable.
There are a couple of ways to consolidate debt. You can:
Use your property
If you have equity in your property, you could look to get a top up or refinance your home loan to a new lender. While the cheapest option, this requires a full assessment with all supporting documentation and often a new valuation. You might also not want to borrow the extra funds over a mortgage term of up to 30 years!
Take out a personal loan
This involves using the funds from the personal loan to pay off all your other debts. This is a good option if you want to pay off your debts in a shorter time frame.
Other reasons you may wish to consider a personal loan are as follows:
- For minor Home Renovations or Landscaping
- Balloon payouts on cars, jet skis, or older cars that can’t get traditional funding
- Weddings, Holidays & Education
costs - Medical, Cosmetic, IVF & Dental procedures
If you’ve blown the budget this Christmas or need to fund for any of the above purposes, get in touch with us today to see if your home loan or a personal loan could help you.