Mortgages · Debt Consolidation
One payment, instead of several.
A debt consolidation remortgage uses the equity in your home to pay off existing debts — loans, credit cards, car finance — replacing several payments with one. It can reduce monthly outgoings, but it's not automatically the right answer for everyone — we'll say so if it isn't.
The important trade-off to understand
Consolidating unsecured debts — credit cards, personal loans, car finance — into your mortgage typically lowers your monthly payment, because you’re spreading the debt over a mortgage term (often 20-25 years) instead of a shorter loan term (often 2-5 years). That can genuinely help monthly cash flow.
But it also usually means paying significantly more interest over the life of the debt — critically, it converts unsecured debt into debt secured against your home. If repayments aren’t kept up in the future, the consequences are more serious than with unsecured borrowing. This is exactly the kind of decision that benefits from a proper conversation about the full picture, not just the monthly-payment headline figure.
Think carefully and take advice before you undertake debt consolidation which you may secure upon your property.
Who this is for
- Multiple loans or credit cards at higher interest rates
- Struggling to keep track of several monthly payments
- Sufficient equity built up in your property
- Looking to reduce total monthly outgoings
- Considering a remortgage for other reasons anyway
- Wanting a clearer, simpler financial picture
How it works
Tell us about your debts and equity
What you owe, at what rates and your current property value and mortgage balance.
Honest assessment
We'll show you the real cost — consolidating unsecured debt into a mortgage usually means paying it off over a much longer term.
Lender matching
If it's right for you, we identify lenders comfortable with the additional borrowing and your circumstances.
Application to completion
Your adviser manages the case through to your debts being cleared.
Common questions
- Yes, if you have sufficient equity in your property. This is done by remortgaging for a larger amount than your existing balance, using the additional borrowing to clear the debts. Not all lenders offer debt consolidation remortgages — some have restrictions on the purpose of additional borrowing and others require a minimum level of equity to remain after consolidation.
- It will typically lower your total monthly outgoings, because mortgage rates are lower than unsecured borrowing rates and the term is longer. However, spreading a short-term debt over a 20-25 year mortgage term means paying significantly more interest in total. Whether the monthly saving is worth the long-term cost is genuinely case-by-case — we always show the full picture before recommending it.
- Personal loans, credit cards, car finance, overdrafts and hire purchase agreements are all commonly consolidated. Student loans are not typically included — they are repaid through the student loans company under income-contingent terms. Business debts may also be excluded by some lenders.
- The key risk is that consolidation converts debt that was previously unsecured into debt secured against your home. If payments are not kept up in the future, the consequences are more serious than with unsecured borrowing — ultimately including the risk of repossession. This is exactly the decision that benefits from a proper conversation about the full picture.
Can I consolidate debt into my mortgage?
Will consolidating debt into my mortgage save me money overall?
What types of debt can I consolidate?
What is the risk of consolidating unsecured debt into a mortgage?
Reviewed by Yazdaan Hussain · CeMAP qualified · LLB
21 August 2026
Your home or property may be repossessed if you do not keep up repayments on your mortgage or other loans secured upon it.