Debt Consolidation

If you have sufficient equity and qualify, a refinance or other secured borrowing option may allow higher-interest debts to be consolidated. The new loan must fit lender and loan-to-value requirements.

It can reduce required monthly payments, particularly when high-interest revolving debt is replaced by lower-cost secured borrowing. The trade-off is that the debt may be repaid over a longer period.

Paying down high revolving balances may help credit utilization over time, but no specific credit-score improvement can be guaranteed. Future payment behaviour remains important.

Not automatically. Closing old accounts can affect available credit and credit history. More importantly, the underlying spending issue should be addressed so balances do not build up again.

In some circumstances, tax arrears can be paid through a refinance, second mortgage, alternative mortgage or private mortgage. The available solution depends on the equity, property, registered liens and overall file.