Debt consolidation? - Posted by Anders
Posted by Anders on July 28, 2003 at 23:47:04:
I am stuck with some large credit card debts from my divorce (about $20,000 worth), and was recently considering some of the debt consolidation programs to reduce my monthly payments and be able to afford higher monthly payments on a home. My question is: does this show negatively on my credit when applying for a mortgage? I was listening to the CS program and he mentioned it would not work against me when using his techniques for purchasing my first property. I have heard conflicting advice on this subject. Can anyone straighten me out on this? One thought I had was that if I can get started in REI, I could just pay it off altogether (my dream). Will it be harder for me to qualify with the high debt/income ratio, or with the consolidation on my credit record? I’m guessing this is a pretty common concern given the level of debt many Americans are in these days.