|
Monthly Bills
|
Before Debt
Consolidation
|
After Debt
Consolidation
|
|
Mortgage Payment
|
1200
|
1450
|
|
Credit Cards
|
893
|
0
|
|
Loans for Appliances
|
157
|
0
|
|
Student Loans
|
100
|
0
|
|
Misc. Consumer Debt
|
57
|
0
|
|
Total Monthly Payments
|
$ 2,557
|
$ 1,450
|
|
|
This is how a debt consolidation works. In this example, the borrower
refinanced to pay off several bills and used available home equity to
"consolidate" those monthly bills into one low monthly loan payment.
In this scenario, the homeowner improves cashflow by $1,107 per month.
Every homeowner's situation is different. For cashflow purposes, some people
will save less and some will save more.
|
