Rolling over credit card debt refers to taking out a mortgage loan to cover the costs of your credit card debt or adding the principal of your credit card debt to your mortgage loan. This has its up sides and down sides. The primary upside of this being that you will have much smaller interest rates and interest payments to deal with. On the extreme side of things, credit card interest rates can go as high as being 79.9% and mortgages can go as low as 3%. You do not need to be a financial analyst to see where you can save money on that. The down side is that even though the payments are smaller, the stakes are higher. If you default on a mortgage then you lose your money while defaulting on a credit card just means that you lose your credit score.

It can be somewhat of a gamble but if you are certain that you can pay back your credit card loans and would like to save yourself a fair bit of money, it can be wise to deal with rolling over your credit card debt. First the bank will need to appraise your home and then you can negotiate terms. Getting a good mortgage can means a fixed rate at a low interest rate. The better your current credit score and the lower the current interest rates the better for you as well. If this is just a quick fix because you cannot afford your current credit card bills then you may want to reconsider rolling over your debt and instead consider lowering your expenses.

The big reason why you should not roll over as a last resort is that you can lose your home. Bad credit scores are a huge pain and can cause you a lot of headaches but, they will not get you thrown out onto the streets. By rolling over your credit card debts without being able to pay for your mortgage payments, you will lose your home and your credit score all in one go. This is not a gamble worth taking. Before you roll over your debt, ensure that you can afford the new payments and keep to them. It may be a better idea to just negotiate with your credit card provider about a repayment plan than rolling over your debt if you cannot afford to pay the mortgage payments.