Posted on: 07th Jun, 2011 01:58 am
I have a grave debt situation as I owe money in credit card debts and medical debts. I have about $55,000 in equity in our house. Do any companies offer second mortgages any more above the 85% or 90% LTV or is a loan not even an option. Though presently I'm current on my payments, I may lose my job which will make paying the debts further difficult.
You should have 20% equity in your property in order to qualify for a second mortgage. As you have 85% or 90% LTV, it will be difficult for you to qualify for a second mortgage.
In no way am I an advocate for people to not pay your bills. But it comes down to a simple fact, you need a roof over your head. If you are unsure of your financial future, why be burdened with the credit card debt and payments. Consolidating the CC into your mortgage will make it more difficult to pay your mortgage. You will have no CC, but what happens when you lose your job. All the credit cards get racked back up, you lose the house and you are stuck with bad credit, a foreclosure and high CC debt. You can consult a BK attorney to releive you of CC debt. Then you will only have your mortgage to pay. People who pay off CC always call back in 6-12 mos, and refi again, because they found a way to charge the cards that they said they wouldnt touch again...Good Luck to you.
Point well taken, Chris, about those who consolidate cards only to re-use them and run up the balances again in a matter of months.
In a situation such as we see here, I have to agree with you that it's a better idea to eliminate the cards altogether, and that would mean taking the BK route, it would appear.
In a situation such as we see here, I have to agree with you that it's a better idea to eliminate the cards altogether, and that would mean taking the BK route, it would appear.
