Home Equity Loans - How To Use Your Home's Equity To Consolidate Debt

Written by Carrie Reeder

If you've got a wallet full of credit cards, and monthly payments on them that total more than 25% of your monthly income, chances are that you've considered debt consolidation loans or some other means of taming your credit card debt. But did you know that a home equity loan is another way to getrepparttar money that you need to pay off your creditors, reduce your monthly payments, and get out from underrepparttar 148315 weight of all those monthly payments?

A home equity loan is essentially a second mortgage taken out with your house asrepparttar 148316 collateral. Becauserepparttar 148317 loan is secured, you'll have a much more favorable interest rate. And those lower rates will translate to a lower monthly payment overall. You'll wind up with one creditor, one monthly payment, and more money in your pocket each month.

There are some definite advantages to taking out a home equity loan or line of credit to get out of debt, and one very big danger. By trading your unsecured loans (your credit card debts) for a secured loan, you are putting your house onrepparttar 148318 line. Why? Because if you don't makerepparttar 148319 payments,repparttar 148320 lender hasrepparttar 148321 right to take your home from you and sell it in order to collect onrepparttar 148322 loan. But if you've got at least 20% equity in your house, and are certain that you'll be able to meetrepparttar 148323 monthly payments, then taking out a home equity loan to pay off your debts may be a good choice for you.

Once you've decided that a home equity loan is an acceptable risk for you, you'll have a few other decisions to make.

All home equity loans are not created equal! There are two types of loans, and you'll need to decide which one is right for you.

A flat home equity loan is a standard loan for a fixed amount. The amount will be limited byrepparttar 148324 amount of equity you've invested in your house. If you use uprepparttar 148325 entire amount of your loan and need more money, you'll have to apply for another loan.

Home Equity Loans Online

Written by Carrie Reeder

If you are inrepparttar market for a home equity loan, consider an online lender. Home equity loans online are fast and easy. You could be approved in just minutes when you apply online for a home equity loan. The online lending industry is highly competitive. Online lenders are offering home equity loans withrepparttar 148309 lowest interest rates in years. When you apply for a home equity loan online, you will be assured of professional service, prompt attention to your questions, and expert advice throughoutrepparttar 148310 entire loan process.

Applying for a home equity loan online is a quick, simple process. When you completerepparttar 148311 online application one or more lenders will contact you within hours. Online lenders are mortgage professionals who can assist you in being approved for a home equity loan and will makerepparttar 148312 loan process pleasant and painless. A home equity loan from an online lender isrepparttar 148313 easiest way to getrepparttar 148314 extra cash you need fromrepparttar 148315 equity you have built in your home andrepparttar 148316 monthly payments are easy to manage.

Home equity loans online are available with varying lengths and terms to make it easy for you to findrepparttar 148317 loan product that will best suit your needs. You can apply for a home equity loan online and be approved in just minutes in some cases. Lenders will contact you shortly after receiving your application to beginrepparttar 148318 approval process. Even if your credit is less than perfect, you can be approved for a home equity loan from an online lender. Online mortgage lenders are eager to approve your loan and will advise you of allrepparttar 148319 options that may be available to you.

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