Debt Consolidation

If you are having trouble with multiple credit cards and high interest bills every month, debt consolidation could be the solution that lowers your finances and brings it under control. At EverLend, we help homeowners across Ontario and Canada convert their debt into a single and manageable payment via a debt consolidation mortgage. Get a lower interest rate than what you are currently paying across all your individual balances.

We analyze your income, credit, and overall financial profile to secure a quick approval. By consolidating your high-interest debt into a single mortgage, we provide you with a lower, manageable monthly payment.

Whether you are comparing a debt consolidation loan Canada wide or simply looking at what debt consolidation is and if it’s right for you, our team is here to guide you in every step with access to over 20 financial institutions to look for the approval that suits your situation.

What Is Debt Consolidation?

Debt consolidation is the procedure of binding multiple debts such as credit cards or personal loans into a single new loan or mortgage. Instead of monitoring different due dates and interest rates along with minimum payments each month, you make one combined payment usually at a lower interest rate.

At EverLend, we have the expertise in mortgage based debt consolidation which uses equity in your home to pay off higher interest unsecured debt. Mortgage rates are usually lower than credit card and personal loan rates. So this approach can reduce the total interest you pay over time along with simplifying your monthly finance into one predictable payment.

Is Debt Consolidation a Good Idea?

Whether debt consolidation is a good idea relies on you financial picture. Usually it is an excellent choice when you have different high interest debts and you just want a single structured path to becoming debt free without switching between payments each month.

Debt consolidation is usually most impactful when:

•      You have equity built up in your home

•      Your current debts carry high interest rates

•      You want a fixed and predictable monthly payment

•      You're committed to not accumulating new high-interest debt after consolidating

Does Debt Consolidation Hurt Your Credit?

A lot of people ask whether debt consolidation affects your credit score. In the short term, submitting a new loan needs a credit check which may lower your score but in the long run, debt consolidation usually improves your credit profile because:

•      Your credit usage drops after credit bills are paid off

•      You shift to a single and consistent paid loan

•      On time payments on your combined loan are reported positively over time.

The key is to pay your consolidated loans on time consistently and avoid using credit cards after it has been paid off.

Debt Consolidation vs. Consumer Proposal

A common question we hear is: what is the difference between debt consolidation and a consumer proposal? While both are ways to manage increasing debt, they work very differently.

A debt consolidation loan groups your existing debts together into a new loan usually secured against your home and you continue to repay the full amount under better terms. Whereas a consumer proposal is a formal and legally binded agreement with your creditors usually governed by a Licensed Insolvency Trustee to repay only a small amount of what you owe.

For homeowners with equity, debt consolidation is usually the best choice that allows you to pay off your remaining debt in full while avoiding the credit and legal implications of a consumer proposal.

Who Should Consider a Debt Consolidation Loan?

•      Homeowners having trouble with different credit card balances with high interest rates

•      Those who are afraid to take on a consumer proposal

•      Borrowers who have a bad credit and were rejected for a personal debt consolidation loan

•      Homeowners wanting to get rid of monthly cash flow for other financial goals

•      Anyone who has been comparing best debt consolidation options and wants an expert guidance before committing

Debt Consolidation in Ontario and Across Canada

EverLend is located in North York, Ontario and we work with homeowners across Ontario and Canada to manage debt consolidation loans that fit their different circumstances. Whether you are looking for debt consolidation BC or in Canada more widely, our professionals understand the regional lending landscape and can advice you toward the right solution.

We help homeowners in Toronto and communities throughout Ontario who want to combine credit card debt and other high interest balances into one manageable mortgage payment.

Why Choose EverLend for Debt Consolidation?

Reasons to choose EverLend for Debt Consolidation:

•      One combined loan with a single monthly payment to get rid of all your bills

•      Lower interest rate than a lot of credit cards or personal loans

•      Better cash flow and a more predictable monthly budget

•      Chances to improve your credit score with time through consistency

•      Open to a network of 20+ lenders which increases your chances of approval

•      Support for a wide variety of credit profiles including bad credit history debt consolidation loans

•      Customized guidance from mortgage experts who understand the Ontario and Canadian lending landscape

Get Started With Everlend Today!

Want to see how much you can save by consolidating your debt? Our team will explain all your options and run the numbers for you. We will help you understand what exactly a debt consolidation loan could look like for your specific situation. Book a free consultation with one of our agents today!

Frequently Asked Questions

Can I get a debt consolidation loan with bad credit?

Yes. EverLend works with a network of around 20 lenders and strategizes many solutions as mortgage based debt consolidation. We even help homeowners with bad credit history get approval where a conventional bank debt consolidation loan might not be an option.

How much money can I consolidate?

The amount you can consolidate usually depends on the equity available in your home and income along with your overall financial profile. Our team will analyze your situation during your free consultation to understand what will work for you.

Is a bank debt consolidation loan better than a mortgage based solution?

It depends on your debt amount and what financial situation you are in. Bank options can fit smaller unsecured debts. Whereas mortgage based consolidation through EverLend often provides lower interest rates and higher approval flexibility for homeowners with larger debt loads or equity to leverage.

How long does the debt consolidation process take?

Timeline differ according to your lender and documentation but a lot of EverLend clients shift from initial consultation to funded approval with a couple of days to a few weeks.

Will consolidating my debt stop me from getting into debt again?

Debt consolidation is all about simplifying your current existing debt into one manageable payment. Staying debt free depends on your spending habits. We suggest not to indulge in high interest debt such as running credit after your consolidation is complete.