A Friendly Guide to Debt Consolidation for Homeowners in Grey, Bruce, and Simcoe County
Hi there, homeowner! If you’re feeling bogged down by debt this January, you’re not alone. Household debt for Canadians crossed the $2.5 trillion mark last November with Ontario payment delinquencies rising. Ready for the good news? You don’t have to face debt alone either. If you live in Grey, Bruce, or Simcoe County, there’s a smart way to tidy up your finances and lighten your load: mortgage refinancing for debt consolidation. Let’s chat about how it works and how it could be the fresh start you need.
What Is Debt Consolidation Anyway?
Think of debt consolidation as cleaning up your finances. Instead of juggling a bunch of different payments—credit cards, personal loans, and the like—you roll them into one tidy package. For homeowners, this often means using your home equity through mortgage refinancing. Not only does it simplify things, but it can also save you money if the new interest rate is lower than what you’re currently paying.
Why Consolidate Debt Through Mortgage Refinancing?
- Keep It Simple: One payment instead of many.
- Save Money: Lower interest rates could mean more cash in your pocket.
- Boost Your Credit: Consolidating debt and making on-time payments can help your credit score.
- Peace of Mind: With a clear plan in place, you can focus on what matters most.
Handy Tools to Stay on Track
Once you’ve consolidated your debt, staying organized is key. Luckily, we live in a time where budgeting apps are a thing, so if Excel or Google Sheets just aren’t intuitive enough (or at all), you have options! Here are some of the top tools we recommend to help you manage your money:
- YNAB (You Need A Budget): Ideal if you love detailed planning and want to assign every dollar a job. Has a 34-day free trial and promotes concepts like “Spendfulness”.
- PocketGuard: Helps you figure out what’s safe to spend after covering bills and essentials. Pricing is varied but expect a fee of roughly $75 USD per year.
- Credit Karma: Keeps you on top of your credit score and offers tailored advice. Plus, it now offers the features of the popular budgeting app, Mint, at no monthly cost.
- Quicken: Offers solutions for personal and business budgeting starting at $2.99/month. Syncs with all major institutions and many small ones as well.
How to Get Started
The reality is that getting back on track financially may involve more than just downloading an app. To give yourself the best chance at managing your debt, follow each step listed below:
- Take Stock of Your Debt: Write down all your debts—amounts, interest rates, and payments.
- Know Your Equity: Find out how much home equity you have. (Hint: We can help with this!)
- Set a Budget: This is where you can use one of the apps above to create a plan that works for your lifestyle.
- Talk to Us: Give Buckley Mortgage Broker a call. We’ll walk you through the mortgage refinancing process and help you consolidate your debt with confidence.
Tips to Stay Debt-Free
- Save for Emergencies: Build an emergency fund for those “just-in-case” moments.
- Stick to Your Budget: Regularly review your spending and make adjustments if needed. It might not be fun to start, but it will literally pay off in the end.
- Pay More When You Can: Chipping away at your mortgage & other debt faster can save you even more in the long run (this is because of interest charges).
- Resist New Debt: Avoid the temptation to take on new credit cards or loans. This one may be tricky because offers will pop up the better you become at handling debt.
How Can Buckley Mortgage Broker Help?
At Buckley Mortgage Broker, we’re all about making things simple for you. We specialize in mortgage refinancing to help homeowners consolidate debt. Here’s how we’ve got your back:
- Understanding Your Situation: We’ll take a close look at your financial picture to find the best mortgage refinancing option for you.
- Finding Great Rates: With access to a variety of lenders, we’ll hunt down competitive rates that could save you money.
- Guiding You Through It: We’ll handle the nitty-gritty details and educate you along the way so you can feel confident in planning your financial future.
Let’s Make a Plan Together
Debt consolidation doesn’t have to be overwhelming—especially when you’ve got experience on your side. If you’re ready to simplify your finances and start fresh, reach out to us. Together, we’ll create a plan that works for your unique situation and helps you feel financially secure.
Sound good? Let’s get started today!
