At Allentown Mortgage Corp debt consolidation loan is tailored to fit your specific lending needs. Learn more about debt consolidation loan terms, savings and more before you apply by reviewing the debt consolidation loan information below.
Lowering Your Monthly Payments
Debts that go unpaid can damage your credit and make it difficult to obtain a home loan. In order to lower your monthly mortgage payments, and increase your credit rating, consolidate or pay off your debt. Another way to relieve the burden of high monthly payments is to refinance your first mortgage or obtain a new home equity loan.
Often times the interest portion of a debt consolidation loan or second mortgage may be tax deductible. These tax savings can be substantial when compared to your non-deductible monthly bills. Be sure to check with your tax advisor for more details because the total deductions depend on your individual tax bracket and state tax laws.
Simple Interest Savings
The differences in the type of interest you pay on your home loan will impact the price of your monthly payments. With simple interest, your loan interest is calculated once and is fixed, offering savings in the long run. Unlike simple interest, compound interest loans continually add the interest amount to the principle and incur additional interest charges, often times leading to a large balance that is difficult to pay off.
Debt Consolidation Loan Terms
Many mortgage lenders offer the option to use all, or part, of your home loan for debt consolidation. Most debt consolidation loan programs that are offered have terms anywhere from 5 to 30 years. The minimum loan amount that is offered in most circumstances is $15,000.
No Equity Home Loans
When considering a debt consolidation loan or a second mortgage, homeowners should know that in many cases no equity is required. Many mortgage lenders offer no equity home loans to help you, the homeowner, consolidate your bills and lower your monthly payments. The funds generated through this type of no equity mortgage can be used for any purpose. These loans are available to qualified borrowers at up to 125 percent of a home’s current price.
Contact Allentown Mortgage Corp to discuss your best debt consolidation options by calling .