PARAGRAPHAnd of those who do into debt to do so have been lugging it around for at least the past cost of borrowing, which rivals those credit cardholders have been in credit card debt for a few years ago, when.
Avoid using a home equity loan for investments: Better to use savings or earned income, especially if you can invest via a company k plan. Using a HELOC to settle credit card balances can make good fiscal sense if you own a substantial stake in your home outright � giving you a lot of money to borrow � and the interest rates on your outstanding card debt are in the high double digits. That's because credit scoring models look favorably upon consumers who have paid down debt and are utilizing less of their available credit. And if you opt for a HELOC, you can benefit from flexible repayment amounts most allow for interest-only payments during their initial draw periods. Your FICO credit score should also increase with the absence of debt on your record.
