debt consolidation for credit card debt

IMO I would not borrow against the house if they already have a second loan on it....if they get into deaper money troubles in the future, that could jeapordize their home. I would consider consolidating the credit cards, that would lower the interest rates and monthly payments, and maybe they can get back on track. If they try to refinance, they might get turned down...that is what happened to us, and we were told that we had too much debt...guess they thought we were too risky to refinance.

IMO I would not borrow against the house if they already have a second loan on it.

Krista, you don't have to keep anything as collateral while taking a consolidation program. In most cases, properties are kept as security when some loan is being granted. In the consolidation program, you can combine all your credit card accounts into one monthly payment at a lower rate of interest.

After the accounts are consolidated, you will pay to the consolidation company who in turn will pay to your creditors. They will inform them that you have enrolled in this program and will be regular in your payments. The creditors will appreciate your move. They might even be willing to extend some benefits like wiping off the late payment fees from your total debt. This will be helpful in your repayments.

The payments fixed in this program are much lower than the minimums that you pay to your creditors. Take a free counseling and discuss your situation with the consultant. After doing a thorough analysis, he will plan your repayments.

thank you all so much for your help. i am going to forward all of this info to my sister. i think it will definitely help them.