Home Equity Loan to consolidate debt...yes or no?

[Anonymous]

I currently have a HELOC with a variable APR currently at 11.5% with 50K on it and a few credit cards also at 11% with close to another 50k combined.

If I can find a bank or credit union that could offer a 100k home equity loan at a lower fixed interest rate, no closing costs or fee's etc is there any down side that I'm not seeing?

TIA

[Anonymous]

IF there are no costs, lower interest rate will help. However - based on the limited info provided- it looks like you have a spending problem and should be cautious of getting any more than you need to pay down existing debts.

[Anonymous]

no, why cover an unsecured debt with a secured debt? The credit card company can't take your house if you don't pay but if you don't pay your heloc the bank can take your house.

[Anonymous]

Anonymous wrote:no, why cover an unsecured debt with a secured debt? The credit card company can't take your house if you don't pay but if you don't pay your heloc the bank can take your house.

I'm in no threat of defaulting on anything, I just want to cut the interest as low as possible.