+48 74326 02396
Simplify & Save: Use Home Equity to Consolidate Debt in Utah
Turn your home equity into a powerful financial tool — streamline your debt and lower your monthly payments with one smart move.
What Is a Debt Consolidation Loan?
A debt consolidation loan uses your home’s equity to pay off other unsecured debts. It gives you a new mortgage (or second mortgage), leaving you with one easy monthly payment — typically with a much lower interest rate.
Most Common Debts We Consolidate:
- Credit cards
- Personal loans
- Medical bills
- High-interest installment loans
- Past-due collections or judgments
Options for Consolidating Debt with Equity
Replace your mortgage with a new one and use the cash to pay off existing debts.
Use as-needed borrowing to pay off debts in phases or manage fluctuating balances.
Get a lump sum at a fixed interest rate. Ideal for predictable debt amounts.
Why Utah Homeowners Choose This Strategy
What Are the Benefits?
Mortgage-backed loans have far lower rates than unsecured debt.
One monthly payment vs. managing multiple due dates.
Paying off cards in full may improve your credit utilization and score.
How to Qualify in Utah
Most lenders look for:
- 20% or more equity in your home
- Credit score of 620 or higher
- Stable income to handle the new loan payment
You don’t have to be perfect — we help clients with past late payments or bankruptcy qualify too.
FAQs About Consolidation Loans
Can I include medical bills and collections?
Yes. Almost any unsecured debt can be consolidated using your home equity.
Will it reset my mortgage term?
If you do a cash-out refinance, yes. A HELOC or home equity loan will not affect your primary mortgage term.
Will this hurt my credit?
Often the opposite — consolidating debt can help rebuild your score with responsible use.
Explore Other Loan Services
We offer more than just cash-out refinance options. Explore our full suite of lending solutions built for Utah homeowners and new residents alike:
Whether you’re tapping equity through cash-out refinance loans in Utah or starting fresh with a home relocation loan, our expert team is here to help.
Ready to Simplify Your Finances?
Let us help you break free from debt and get back on track — with smart, affordable funding powered by your own home.