Debt Consolidation · Rates

Debt Consolidation Rates (2026)

The whole point is a lower rate. Home-secured financing typically beats credit-card and personal-loan rates by a wide margin.

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

Home-secured rates (cash-out, HELOC, home equity loan) are usually far below credit-card rates. Your rate depends on credit, LTV/CLTV, and the tool. Compare the blended savings, not just the rate.

Why the savings are large

Credit cards often carry very high rates; home-secured financing is dramatically lower because your home backs the loan. Rolling high-rate balances into a lower-rate loan can cut your total monthly payment substantially.

Fixed vs. variable

A home equity loan or cash-out gives a fixed rate; a HELOC is variable. For a payoff plan you want to finish predictably, fixed often fits best. We’ll match the structure to your goal.

Frequently asked questions

How much can I save?

It depends on your balances and rates, but replacing high-rate card debt with home-secured financing often cuts the payment significantly.

Fixed or variable for consolidation?

Fixed (home equity loan or cash-out) suits a defined payoff; a HELOC’s flexibility fits ongoing needs.

Does a lower rate guarantee savings?

Only if you don’t re-accumulate the debt. The rate helps; the habit change seals it.

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.