Interest — Rate vs Cost using 6% Mortgage and 10% HELOC.
1. WHEN CAN YOU BORROW MONEY BUT NOT BE IN MORE DEBT? I am a strong advocate of getting out of debt as soon as possible and staying out as long as possible. The diagram below shows how by borrowing $5,000 from a home equity, personal or business line of credit to use as a principal-only payment to help pay off the balance owing on a mortgage, you aren’t really getting deeper into debt. You are really just repositioning the debt differently. Don’t you still owe the same $200,000 amount but in a different configuration? Why do this? Keep reading.…..


























The opinions expressed herein are my own personal opinions and do not represent anyone else's view in any way, including those of my employer.
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