Stop Paying 20% Interest on Credit Cards
Canadians carry an average of $4,000+ in credit card debt at 20% interest. That's $800/year in interest on just the average balance. Consolidating into your mortgage at 5% drops that to $200. Multiply that across all your debts.
Eliminate High-Interest Debt
Credit cards at 18-22%, car loans at 6-9%, personal lines of credit at 8-12%, and payday loans at even higher rates — consolidating everything into your mortgage at 4-6% saves thousands in interest every year. On $50,000 of credit card debt alone, the annual interest savings can exceed $7,500 by moving from 20% to 5%.
One Simple Payment
Replace multiple payments with varying due dates, minimum amounts, and interest rates with one clear, manageable monthly mortgage payment. Instead of juggling 5-10 different creditors each month, you make a single payment on a predictable schedule. This simplification alone reduces the risk of missed payments and the stress of managing multiple accounts.
Free Savings Analysis
Before you decide anything, we calculate your exact monthly savings, total interest reduction, and payoff timeline with a detailed before-and-after comparison. You will see the total cost of your current debts versus the consolidated mortgage, including any refinancing penalties and legal fees. There is no cost and no obligation for this analysis.
Improve Cash Flow
By reducing your total monthly debt payments, consolidation frees up significant cash for savings, investments, or daily expenses. Most clients see $500-$1,500 in monthly savings depending on the amount of high-interest debt being consolidated. This improved cash flow can be redirected toward building an emergency fund, contributing to your RRSP or TFSA, or simply reducing financial stress.
Credit Score Recovery
Paying off credit cards immediately improves your credit utilization ratio, which is one of the largest factors in your credit score. When your credit card balances drop from near-limit to zero, your score can improve by 50-100 points over 3-6 months. Over 6-12 months, your credit score typically recovers and often exceeds pre-consolidation levels, opening the door to better rates on future borrowing.
Multiple Consolidation Options
Refinance, second mortgage, or HELOC — we recommend the approach that minimizes costs and maximizes savings for your specific debt profile. A refinance works best for large amounts of debt with sufficient equity. A second mortgage avoids breaking your first mortgage if you have a great rate. A HELOC offers revolving access if you need ongoing flexibility. We compare all three scenarios side by side.
Debt Consolidation Requirements
Qualifying for a debt consolidation mortgage depends on your home equity, credit profile, and income. Here is what lenders look for and how we help you access the savings you need, even in challenging situations.
Requirements
- Minimum 20% equity in your home after the consolidation — the refinanced mortgage cannot exceed 80% of your home's current appraised value
- Minimum credit score of 600 for A-lender refinancing, with B-lender options available for scores as low as 500 at slightly higher rates
- Proof of stable income sufficient to service the new consolidated mortgage payment under the federal stress test
- Total Debt Service (TDS) ratio must remain at or below 44% after all debts are consolidated into the new mortgage
- Property appraisal confirming sufficient market value to support the refinanced mortgage amount
- Full disclosure of all outstanding debts — credit cards, car loans, personal lines of credit, CRA arrears, and any other obligations
- Clear title on the property with no outstanding liens or judgments beyond the debts being consolidated
How We Help
- We provide a free, no-obligation savings analysis showing your exact monthly savings, total interest reduction, and break-even timeline
- Our team compares refinance, second mortgage, and HELOC options side by side so you choose the approach that saves the most money
- If your credit score is below 600, we connect you with B-lender programs that still offer substantial interest savings versus credit card rates
- We manage the payoff of all your debts at closing — funds go directly to each creditor so your accounts are cleared immediately
- For clients with insufficient equity for full consolidation, we prioritize the highest-interest debts first for maximum savings impact
- We help you develop a post-consolidation plan to prevent re-accumulating high-interest debt and build long-term financial stability
- If breaking your current mortgage involves a penalty, we factor that cost into the analysis to ensure the consolidation still makes financial sense
Questions About Debt Consolidation
Everything you need to know about consolidating debt through your mortgage.
How It Works
Credit & Equity
After Consolidation
Credit & Equity (Continued)
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