Equity Loans to 125%
Debt Consolidation Solutions for Homeowners
By Amber Smith

Consumers can get credible advice for debt consolidation, second mortgage and home equity loans from the 125% loan experts at Nationwide. Consolidating compounding interest into a fixed rate tax deductible loan is one of the smartest financial decisions you can make if you have existing credit card debt. In the last year, high LTV loan programs like the 125% second mortgage have endured many guide line changes and with 680 credit scores required the tightening has happened. Read and learn more about smart and cost-effective ways to refinance your debt.

Have you ever wished that you could get more than you home is worth through a 2nd mortgage? Well, you can. It's called a home equity loan to 125% loan. When you choose to obtain a home equity loan to 125%, you will receive a loan in the amount of 125% of your home's worth. You can use the extra money to pay off bills consolidate debt. Usually, home equity rates are based on the Wall Street Journal Prime Rate as are Home Equity Lines of Credit to 125%. You can find this rate in the Money Rates section of the Wall Street Journal. In order to get this number, they keep tabs on the 30 largest banks, and when three-fourths of those banks change their interest rates, the Wall Street Journal publishes the new rate. Sometimes, banks and lending agencies will work off different rates including the LIBOR Index, MTA Index, and Federal Reserve.

Learn how to consolidate credit card debt with a tax deductible home equity loan!

For years, Alan Greenspan has been chairman of the Federal Reserve, controlling interest rates and trying to keep the market from crashing or housing bubbles from occurring.

Preferred Loan Type Select ---------------> Mortgage Refinance Cash Out Refinance Home Equity New Home Purchase Property Type Select One-----------> Single-Family Detached Condominium Cooperative Multi-Family Dwelling Modular Mobile Home Manufactured Home Property Value Select One-----------> 1st Time Buyer 75,000 - 80,000 80,000 - 85,000 85,000 - 90,000 90,000 - 95,000 95,000 - 100,000 100,000 - 105,000 105,000 - 110,000 110,000 - 115,000 115,000 - 120,000 120,000 - 125,000 125,000 - 130,000 130,000 - 135,000 135,000 - 140,000 140,000 - 145,000 145,000 - 150,000 150,000 - 155,000 155,000 - 160,000 160,000 - 165,000 165,000 - 170,000 170,000 - 175,000 175,000 - 180,000 180,000 - 185,000 185,000 - 190,000 190,000 - 195,000 195,000 - 200,000 200,000 - 205,000 205,000 - 210,000 210,000 - 215,000 215,000 - 220,000 220,000 - 225,000 225,000 - 230,000 230,000 - 235,000 235,000 - 240,000 240,000 - 245,000 245,000 - 250,000 250,000 - 255,000 255,000 - 260,000 260,000 - 265,000 265,000 - 270,000 270,000 - 275,000 275,000 - 280,000 280,000 - 285,000 285,000 - 290,000 290,000 - 295,000 295,000 - 300,000 300,000 - 305,000 305,000 - 310,000 310,000 - 315,000 315,000 - 320,000 320,000 - 325,000 325,000 - 330,000 330,000 - 335,000 335,000 - 340,000 340,000 - 345,000 345,000 - 350,000 350,000 - 355,000 355,000 - 360,000 360,000 - 365,000 365,000 - 370,000 370,000 - 375,000 375,000 - 380,000 380,000 - 385,000 385,000 - 390,000 390,000 - 395,000 395,000 - 400,000 400,000 - 405,000 405,000 - 410,000 410,000 - 415,000 415,000 - 420,000 420,000 - 425,000 425,000 - 430,000 430,000 - 435,000 435,000 - 440,000 440,000 - 445,000 445,000 - 450,000 450,000 - 455,000 455,000 - 460,000 460,000 - 465,000 465,000 - 470,000 470,000 - 475,000 475,000 - 480,000 480,000 - 485,000 485,000 - 490,000 490,000 - 495,000 495,000 - 500,000 500,000 - 505,000 505,000 - 510,000 510,000 - 515,000 515,000 - 520,000 520,000 - 525,000 525,000 - 530,000 530,000 - 535,000 535,000 - 540,000 540,000 - 545,000 545,000 - 550,000 550,000 - 555,000 555,000 - 560,000 560,000 - 565,000 565,000 - 570,000 570,000 - 575,000 575,000 - 580,000 580,000 - 585,000 585,000 - 590,000 590,000 - 595,000 595,000 - 600,000 600,000 - 605,000 605,000 - 610,000 610,000 - 615,000 615,000 - 620,000 620,000 - 625,000 625,000 - 630,000 630,000 - 635,000 635,000 - 640,000 640,000 - 645,000 645,000 - 650,000 650,000 - 655,000 655,000 - 660,000 660,000 - 665,000 665,000 - 670,000 670,000 - 675,000 675,000 - 680,000 680,000 - 685,000 685,000 - 690,000 690,000 - 695,000 695,000 - 700,000 700,000 - 705,000 705,000 - 710,000 710,000 - 715,000 715,000 - 720,000 720,000 - 725,000 725,000 - 730,000 730,000 - 735,000 735,000 - 740,000 740,000 - 745,000 745,000 - 750,000 750,000 - 755,000 755,000 - 760,000 760,000 - 765,000 765,000 - 770,000 770,000 - 775,000 775,000 - 780,000 780,000 - 785,000 785,000 - 790,000 790,000 - 795,000 795,000 - 800,000 Over 800,000 Credit Rating Select ---------------> Excellent Good Fair Poor

Fixed or Adjustable
You have a couple of options when you get a 125% home equity loan. You can choose either a fixed or an adjustable interest rate. There are pros and cons to both, depending on the rate being used and whether it is currently high or low.

Fixed rates will lock you in at a specific rate for the life of your loan. Although you'll know up front exactly what you'll owe in interest, you may be stuck paying more if rates fall. On the other hand, adjustable interest rate loans generally offer a trial fixed rate for 1 to 5 years before transferring to the current rate at that time.

If rates go down, you're doing great; if they go up, your monthly payment could go up significantly. So, the rule of thumb is that if you can pay off the loan before the trial period is up, and the payoff fees aren't too steep, then it's okay to get an adjustable rate loan. The problem comes if your life unexpectedly changes, and you can't pay it off in time. Do what's comfortable for you now, since you can't predict the future.

According to Wachovia, you should be able to answer "yes" to these three questions if you are considering an ARM: