Ask Ms. Gail: Should I take out a HELOC to pay off credit card debt?
QUESTION: Should I take out a HELOC to pay off credit card debt?
Answer: Normally we are not going to recommend that. We would recommend that you talk more extensively with either me as your financial education specialist or GreenPath Financial Wellness.
We partner with GreenPath and they have available a debt management plan.
Normally, that would be something we would want to refer you to and have you give them some information so they can make a decision on whether a debt management plan would be better for you.
You can pay it off in a shorter-term rather than tying it into a home equity line of credit.
Tying those credit cards into that home equity line of credit would really extend it out for a longer term than we would want you to do that. So that would not be something we would recommend without talking with you further and making a decision that is best for you.