What is being compared
Your current payments are compared with a consolidated payment, at the rate and duration you chose.
A lower payment is not a cheaper debt
The monthly relief is real. Also look at the fees, the total interest, and how many years the debt stays: a three-year debt spread over 25 costs more, even at a better rate.
What the calculation cannot predict
It does not confirm that refinancing is available, and it does not predict the new balances that can reappear on the cards you paid off.
A worked example
Three debts: credit cards $15,000 ($450 a month), a line of credit $10,000 ($200), and a car loan $12,000 ($350), so $37,000 and $1,000 of payments a month. Rolled into the mortgage at 5.5% over 25 years with $1,500 of fees added ($38,500 total), the payment drops to $235.00 a month, which is $765 less. But spread over 25 years, the new loan costs about $32,000 in interest: the payment falls because the debt lasts longer, not because it costs less.
Common questions
Can I consolidate without refinancing the mortgage? Depending on the file, other structures exist (secured line, second loan), each with its own fees and conditions; compare them on payment and total cost. What happens to my credit score? Paying cards down to zero can help the score in the short term, but only if they do not fill up again.
Next step
Send me your balances, rates, and payments: I’ll show you the balance after three, five, and ten years, consolidated or not.