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Debt Consolidation · The Process

The Debt Consolidation Process

Consolidating through home equity follows the path of your chosen tool, ending with your high-rate debts paid off.

MBReviewed by Mike Basti, Mortgage Broker & Founder · NMLS #377740
Quick Answer

Steps: 1) tally debts & compare tools; 2) application; 3) appraisal; 4) underwriting; 5) closing (3-day cancel); 6) debts paid off, one lower payment begins.

Plan to closing

We total your debts, pick the best tool (cash-out, HELOC, or home equity loan), then process like any equity loan — appraisal, underwriting, and closing with a right to cancel on your primary residence.

Payoff and fresh start

At funding, proceeds pay off the targeted debts — sometimes disbursed directly to creditors. You’re left with one lower payment. We’ll also suggest ways to keep the balances from creeping back.

Frequently asked questions

Can you pay creditors directly?

In many cases yes — proceeds can be sent straight to creditors at closing, ensuring the debts are cleared.

How long does it take?

A HELOC can be quick; cash-out and home equity loans run about 30–45 days.

What happens to my cards after?

They’re paid off. Keeping them open (but unused) can help your credit utilization — just avoid new balances.

Save Financial is a California-licensed mortgage brokerage (NMLS #377740, DRE #01875766). Figures are illustrative for 2026 and not an offer of credit.

Want to consolidate high-interest debt?

Talk to a licensed California mortgage broker for a free, no-obligation consultation.