Next Learn The Dangers Of Debt Consolidation
An estimated 70% of Americans that take out home equity loans to consolidate debt end up with the same if not higher debt load within two years.
Think about that number for a moment of 70%. That means that most people who consolidate their debt end up worse off in two years because their attitude has not changed.
If you do participate in a Debt Consolidation Program then be smart about it. Use the savings of a lower interest rate to save and pay off your debt.
A scary statistic is that many households are less than two paychecks away from being flat broke.
People take out a second mortgage and then use the money for things such as:
Vacations
Clothes
New Cars
Eating Out
Remember you risk losing your house if you side into debt further. So be careful with your money and realize that now is the time to save versus now is the time to spend.
