Debt Consolidation Calculator
Mortgage rates are typically a fraction of credit card or line-of-credit rates. Rolling high-interest consumer debt into a refinance can drop your blended rate, free up cash flow, and cut total interest by a lot. The catch is behavioural, not mathematical.
Monthly cash flow shift
+$998.17 per month
Less out the door each month after consolidating. The honest question is whether the consumer-debt habit comes with.
Today vs after consolidation
| Line | Today | After |
|---|---|---|
| Total debt outstanding | $490,000 | $491,800 |
| Monthly payment | $3,800.00 | $2,801.83 |
| Interest paid over horizon | $120,210 | $110,139 |
Interest saved over 5 years
$10,070
Mortgage rates are typically a fraction of credit card or LOC rates. The math almost always favours consolidation. The risk is behavioural: rolling debt into a 25-year mortgage and then running the cards back up is the failure mode that makes the refi worse than where you started. Plan for that part.
Upfront cost of $1,800.00 (penalty + closing) was rolled into the new mortgage balance, not paid out of pocket.
What this calculator misses
Consolidation isn't the answer if the spending pattern that built the debt is still active. The clients who get this right close most of the consolidated cards the same week the refi funds, build a real budget, and treat the freed cash flow as a head start on paydown rather than a raise. Without that piece, the math works on paper and fails in the household.
For the strategy explainer in plain English, including who it fits and where it goes wrong, see the strategies page.