Escaping The Debt Rat Race With An Oregon Debt Consolidation Loan

Using an Oregon debt consolidation loan to pay off high interest debts could be the smartest thing you ever do. Not only will you be turning bad debt into good, you can use your monthly savings to start an investment account, pay off your mortgage sooner, or both.

You have a few options when choosing to do an Oregon debt consolidation loan. You can either refinance or you can get a home equity loan. Either of these are excellent options.

If you can lower your interest rate while consolidating your debt with a refinance that would be your best option. If a refinance will cause your interest rate to rise you should definitely consider a home equity loan. You should also take a look to see what your over all monthly savings will be with both types of loans. Ask your loan consultant to show you a break down of the various Oregon debt consolidation loan options. I would strongly recommend choosing which ever option has the highest monthly savings.

Once you have consolidated your debt with an Oregon debt conslidation loan you will have a few options as what to do with your monthly savings. You could increase you monthly spending. Enjoying shopping, dining out, etc. You could take the money and invest it. Or you could include that monthly savings into your mortgage payment.

I would highly recommend you invest it or apply it to your mortgage. Below is an example of what either of these could do for you.

Let’s assume:
You have $35,000 in credit card debts and car loans.
Your monthly debt payments are $675.
Your new 30 year mortgage is at the same interest rate you currently have.
Your Oregon debt consolidation loan saves you $359 a month.

Add Your Savings To Your Monthly Payment
If you applied the monthly savings to your monthly mortgage payment your loan would be paid off in 15.5 years and you will have saved over $124,000 in interest payments.

Now let’s assume you started investing your monthly payment of $1,098 after your mortgage was paid off. The investment returns 8% annually. In 5 years your investment would be worth $82,313, in 15 years it would be worth $383,581, in 30 years it would be worth $1,648,422.

Invest Your Savings
If you put your monthly savings into an investment program returning 8% annually you would have $26,913 at the end of 5 years, $125,413 at the end of 15 years, and $538,465 at the end of 30 years.

Splitting Your Savings To Both Mortgage and Investment
If you put $180 a month towards your monthly mortgage payment you loan would be paid off in 20.1 years. Saving over $87,000 in interest payments.

Investing the other $180 in an investment that returns 8% annually you will have $62,822 in 15 years or $270,233 at the end of 30 years.

Or of course you can just choose to have fun with your monthly savings. Eating out all the time, shopping sprees, etc. But I can only hope that you would invest your monthly savings from your Oregon debt consolidation loan.

Oregon Residents wanting to consolidate debt click here on Oregon debt consolidation loan For our quick application. Or feel free to give me a call with any questions.