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Debt Consolidation Mortgage in Canada

How a debt consolidation mortgage works in Canada: fold high-interest debt into your mortgage or a HELOC, up to 80% of your home's value, for one lower payment.

Trade many high-interest payments for one low one

Credit cards near 20% and loans in the teens quietly drain hundreds a month. Rolling them into your mortgage — at a rate a fraction of theirs — can free up real cash flow. Here's the honest before-and-after, and the one habit that turns it into a genuine win.

List your debts and your mortgage. Illustrative planning estimate — not an offer, an approval, or any specific lender's policy.

of equity you can access at 80% loan-to-value — so a full consolidation isn't there yet. A partial consolidation, or a different structure, may still help. Let's look at it together.

spreading that debt over a 25-year amortization means small monthly payments but more interest if you only pay the minimum. The move that makes this a real win:

You have 20%+ equity available in your home

You're committed to not re-running the cards up

Your home now secures debt that used to be unsecured

Paying only the minimum can cost more interest over time

Breaking your current mortgage may trigger a penalty

The real risk: running the cards back up after clearing them

Tell us your debts and your home, and a licensed RateStreet advisor will run the real numbers — including any penalty to break your current mortgage — and set up the prepayment plan that gets you debt-free fastest.

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How a debt consolidation mortgage works in Canada: fold high-interest debt into your mortgage or a HELOC, up to 80% of your home's value, for one lower payment.

Frequently asked questions

What is a debt consolidation mortgage in Canada?

It rolls higher-interest debts — credit cards, lines of credit, car loans — into your mortgage or a home equity line of credit, usually through a refinance, so you carry one payment at a much lower mortgage rate. Educational information, not advice.

How much debt can I consolidate into my mortgage?

You can generally access up to 80% of your home's appraised value through a refinance, and the equity above your current mortgage can be used to pay off other debts. Educational information, not advice.

Is consolidating debt into my mortgage a good idea?

It can dramatically cut your interest cost and simplify payments, but it secures former unsecured debt against your home and can stretch repayment over a longer term. Whether it's worth it depends on the numbers and your plan — RateStreet can model it with you. Educational information, not advice.

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