NewswireToday - /newswire/ -
Alta Loma, CA, United States, 2006/04/02 - California debt consolidation loan for those with bad credit problems can save money immediately. Use home equity to pay off credit cards and car loans and reduce monthly bills.
Many homeowners in California wait until they are 30, 60 or even 90 days behind in their mortgage payments before they even consider a debt consolidation loan. If they are this late with their home mortgage loan payment they are generally further behind with the car and credits cards.
A simple and California debt consolidation loan can reduce payments immediately and avoid or stop foreclosure. By using home equity all the debts would be paid off and borrowers are left with a clean slate and possibly saving thousands every month.
With a better cash flow borrowers now put more of each pay check back in their pocket instead of paying it to creditors. In addition, derogatory accounts and accounts with high balances (in proportion to the credit limits) are paid off. This will have an immediate positive effect on the borrower's credit scores.
One man in California was desperate to save his home and needed help with the home mortgage loan to avoid foreclosure. He was already 90 days late on his mortgage and desperately needed to refinance and to cash out to pay off enormous debts.
He had just started a new job where he was making less money than before, and was in a real financial bind. His poor credit made it difficult for him to even qualify for a loan, let alone a low interest rate. To make matters worse, the next day he received a notice of default on his property.
This man was worried that his family would have no place to live. He was reassured that we would save his home and help him through this difficult ordeal.
We began immediately researching ways to help this client and found a lender willing to work with him and save his home just in the nick of time. His mortgage payment stayed about the same and he was able to pay off more than $25,000 in other debts, which alleviated several hundred dollars in credit card payments every month.
More importantly, this man's house was saved and his family was in a much stronger financial position.
Another benefit to a debt consolidation loan that often overlooked is the tax advantage. Interest on a home loan is tax deductible where interest on credit cards and automobile loans are not,
It is important to act immediately if you see that there will be financial problems on the horizon. Don't wait until you are receiving calls from collection agencies, this only makes matters worse for you in the long run.
For more information please go to: Goldmedalmortgage.com
GoldMedalMortgage.com offers a full range of mortgage products including first time home buyer programs, Pay Option, California refinance, and debt consolidation loan programs through their partners.