The interest rate on a home loan is likely to be a lot lower than the rate you?ll pay on other types of debt such as a car loan, so using your mortgage for debt consolidation could mean a big reduction in your overall monthly repayments.

However it can also turn a short term debt like a personal loan or car loan into a much longer term debt (your home loan). Unless you aim to make extra repayments where possible, you could end up paying more interest over the life of the loan.

To find out the best option for you it is best to request a free appointment with an expert Aussie Broker who will be able to run you through all of your options.