what to do

sarahjane1972

hi its the newby again
well here its is we have a 11,000 loans and 11.000 on cards
have morgage of 85.000 house worth about 200,000
only got 13 years left on the morgage . so do we get a large loan and payoff exsisting loan and cards or stick it on the morg . please all responce will be much apprieciated:j

NorthernLas

Sarah - No one can advise you what to do because we don't know your circumstances. Both your suggestions could be bad or could work for you.

If you increase the mortgage you are turning un-secured debt into secured and you need to factor in the extra interest you pay. If you get a bigger loan, then you are making the payments more fixed and paying for longer, but this might suit your cashflow situation. Have a read of the first time posters link https://forums.moneysavingexpert.com/discussion/107280, it has a link to a snowball calculator that could help you see how much you would pay in different situations.

persian_star

Hey, here's the snowball calculator link: http://www.whatsthecost.com/snowball.aspx

It's all about paying off the debt with the highest interest rate first - good luck