Refinance to pay off debt?

Credit card debts are unsecured, if you don't pay or cannot pay them, it ruins your credit. If you attached this unsecured debt to your home and you don't pay or cannot pay, they take your house.

Some people believe that converting unsecured credit card debt to secured debt is a bad idea; most people who believe that way typically do so because of legal reasons. You might want to consult an estate planning or real estate attorney to find out what those reasons might be.My personal opinion, however, is that it's only a bad idea if you plan to stop paying your debts altogether; or, you plan to move, sell your house, or refinance that higher balance mortgage in the near future. If you can't pay your bills and have a lot of equity, and you find yourself going into bankruptcy court, I've heard the court may require you to sell your house in order to repay your unsecured debts anyway, or just dismiss your bankruptcy altogether. The other reason paying off credit card debts through a refinance is a good idea is you're potentially changing your tax savings, along with cash flow and interest savings. Credit card debt is rarely tax deductible, while mortgage home equity debt is typically tax deductible. If your purpose is to improve your financial well-being over time, then I believe it's a good thing

I suggest you consult with a Financial Planner. Most everyone that I know that has employed a Financial Planner has improved their finances considerably. It will be one of the best investments you will ever make. .... Best wishes, Rudi