How to Leverage Home Equity for Debt Consolidation
Ramesh pays ₹25,000 every month towards his personal loan and credit card debts. His credit card carries an interest rate of 36% annually, while his personal loan has a rate of 18%. He owns a house valued at ₹50 lakh, with ₹30 lakh still remaining on his home loan. This means his home equity is ₹20 lakh. By leveraging it for debt merging, Ramesh could consolidate his debts at a …