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Mortgage Consolidation: Lighten Your Burden and Simplify Your Loans!
Want to lower your monthly expenses and simplify the management of your loans? With mortgage consolidation, you can combine all your loans into a single monthly payment. Discover how to optimize your budget and regain your financial peace of mind.
Simulate Your Mortgage ConsolidationLegal Notice
** A loan commits you and must be repaid. Check your repayment capabilities before committing. The rates indicated are for information purposes only and subject to approval of your application.
Discover Mortgage Consolidation: The Key to a Controlled Budget
Mortgage Consolidation is a financial operation that consists of combining several of your current loans (mortgage, personal loans, lines of credit, etc.) into a single, new mortgage loan. The main objective is to reduce the total amount of your monthly payments by extending the repayment term and/or by getting a more advantageous overall interest rate. It’s the ideal solution to get some breathing room in your budget and simplify the management of your finances.
What types of loans can you consolidate?
- Your existing Mortgage Loan: To review its terms (rate, duration).
- Installment loans: Car loan, renovation loan, personal loan…
- Lines of credit: Credit card debt, cash reserves.
- Other debts: Late payments, tax or social security debts (subject to conditions).
- Adding extra cash: Possibility to include an additional amount to finance a new project (renovation, vehicle purchase, etc.).
Thanks to our online Mortgage Consolidation simulation, you can immediately estimate:
- Your new, single monthly payment, which is often lower.
- The potential savings you can make each month.
- The new repayment term tailored to your situation.
Mortgage Consolidation involves creating a new credit deed at the notary’s office, as it is secured by a mortgage on your property. It allows you to transform short-term, high-interest debts into a single, long-term loan with a more attractive rate.
Free • No obligation • Regain your financial peace of mind
The Key Advantages of Mortgage Consolidation
Opting to consolidate your loans offers tangible benefits for your daily life and future projects:
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A single, reduced monthly payment: The main advantage. By lightening your monthly load, you increase your disposable income and regain financial flexibility.
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Simplified management: No more hassle of multiple due dates. One single debit, one single point of contact for a clear view of your finances.
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A single interest rate: Combine high-interest consumer loans into a single mortgage loan, thus benefiting from an often more attractive overall rate.
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Finance a new project: Take advantage of the consolidation to include an extra sum of money (cash-out) for renovations, a car purchase, or any other project, without taking out a new loan.
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Avoid over-indebtedness: It’s a proactive solution to restructure your debts before the situation becomes unmanageable, allowing you to start over on a sound basis.
Debt consolidation is a strategic decision. Expert guidance is essential to assess the relevance of the operation and find the best structure for your situation.
The Steps to Successfully Consolidate Your Loans
Consolidating your loans is a structured process. Here’s how we guide you:
1. Assessment & Simulation
List all your current loans (remaining capital, monthly payments, rates). Use our simulator for a first estimate of your new monthly payment.
2. Application & File
Fill out the online application. Gather the documents: ID, income proof, and especially the contracts or statements for all loans to be paid off.
3. Feasibility Analysis
Our experts analyze your situation, your property’s value, and the feasibility of paying off your debts to offer you the most suitable solution.
4. Loan Offer
If your application is accepted, you will receive a formal loan offer (ESIS) detailing the terms of your new, single mortgage loan.
5. Deed & Loan Settlement
After signing the deed at the notary’s office, we take care of directly repaying all your former creditors. You are then left with only one monthly payment.
Our advisors will personally guide you to simplify this process and help you regain budgetary balance.
Conditions and Options for Your Consolidation
Mortgage consolidation is a tailor-made operation. Several parameters must be considered:
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The value of your property: This is the basis of the guarantee. The total amount you can consolidate (including additional cash-out) will depend on the appraised value of your house or apartment.
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The interest rate: As with a classic mortgage, you can choose between a fixed rate for security or a variable rate to potentially benefit from favorable market conditions. The choice will depend on your profile.
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The repayment term: Extending the term is the main lever for reducing monthly payments. We work with you to find the best balance between a comfortable monthly payment and a controlled total cost of credit.
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Adding extra cash: If your property’s value and your repayment capacity allow it, you can include an additional amount for any type of project, without having to justify every expense.
Insurance (outstanding balance, fire) are also essential components of this new loan. Our advisors will help you analyze your situation to build the most beneficial consolidation operation for you.
Prepare Your Debt Consolidation Application
A well-prepared application is the key to a quick and efficient process. Here’s how to get ahead.
Take stock of your loans
List precisely all your current loans: lender, remaining capital, monthly payment amount, interest rate, and end date. This is the starting point for any analysis.
Define your objective
Are you only looking to reduce your monthly payments? Do you need an extra sum of money for a project? A clear objective will help us guide you.
Gather your documents
Prepare your identity documents, income proof (payslips, etc.), and especially the latest statements or contracts for all the loans you wish to consolidate.
Good preparation will allow you to get an in-principle decision more quickly and finalize your project with peace of mind.
Testimonials: They Found a New Financial Lease on Life
“We were drowning in different monthly payments: the house, the car, a credit card… CPE Crédit combined everything into a single loan. Our monthly payment dropped by nearly €300! It’s a real breath of fresh air for our family.”
“I wanted to do some insulation work but still had an ongoing car loan. The mortgage consolidation allowed me to pay off that loan AND finance my works, all with a single monthly payment that was barely higher than what I was paying before. It’s perfect.”
Our clients particularly appreciate for their Mortgage Consolidation:
- The significant decrease in their total monthly burden.
- The newfound simplicity with a single loan and a single point of contact.
- The clarity of explanations and the A-to-Z support in preparing the application.
Mortgage Consolidation is an effective solution to regain control of your budget. We are here to help you make it happen.
Mortgage Consolidation FAQ
Find answers to the most frequently asked questions about mortgage-backed debt consolidation, the solution to lower your monthly payments and simplify your finances.
Mortgage Consolidation is a financial operation for property owners. It consists of paying off all your current loans (or part of them) and replacing them with a single, new mortgage loan.
In concrete terms, the financial institution grants you a new loan, the amount of which is used to fully repay your former creditors (your old bank for the home loan, the finance company for the car loan, etc.). At the end of the operation, you are left with only one loan, one monthly payment, and one point of contact. The guarantee for this new loan is a mortgage (or a mortgage mandate) on your property.
No, not necessarily. Debt consolidation is a flexible solution. You can choose to consolidate only a portion of your loans.
For example, it might be wise to keep a very advantageous loan you took out a long time ago (a 0% loan, for instance). The goal is to primarily target the most expensive loans (with high interest rates) like lines of credit or certain personal loans to maximize the benefits of the operation. Our advisors will analyze your debt structure with you to determine the most relevant and advantageous consolidation strategy for your situation.
This is a delicate situation, but not always impossible, provided you own a property. A negative listing at the National Bank of Belgium (NBB) for a payment default complicates getting a new loan.
However, mortgage consolidation can be THE very solution to regularize your situation. If the value of your property is sufficient to cover all your debts (including payment arrears), some specialized lenders may agree to review your case. The goal will then be to settle the debts that caused the negative listing. Each case is unique and will be subject to a thorough analysis. Transparency about your situation is essential.
Yes, a mortgage consolidation involves costs, as it is a new credit deed. You should plan for:
- Notary fees: Since it is a new mortgage loan, a visit to the notary is mandatory for the credit deed. These fees include the notary’s honorarium, registration duties, and mortgage registration fees.
- Application fees: Charged by the new lender for processing your application.
- Prepayment penalties: For your old loans, especially your old mortgage. The law regulates the amount of these penalties (usually 3 months of interest on the repaid capital).
- Property appraisal fees: The new lender will often require an appraisal of your property to confirm its value.
The advantage is that all these costs can usually be included in the new loan amount. So you don’t need to pay them out of pocket. The operation remains worthwhile if the savings on monthly payments far outweigh these costs over the long term.
That’s an excellent question. Mathematically, extending a loan’s term increases its total cost (the total amount of interest paid over the duration). This is the trade-off for getting lower monthly payments.
However, you must look at the whole picture:
- Consolidation allows you to replace very expensive consumer loans (sometimes with rates of 8%, 10%, or more) with a mortgage loan at a much lower rate. This rate reduction can partially or fully offset the effect of the longer term.
- The primary goal of consolidation is to regain immediate financial capacity. Paying a monthly payment of €800 instead of €1200 can prevent over-indebtedness, even if the total long-term cost is slightly higher. It’s a trade-off between current quality of life and the final cost.
Our advisors will provide you with a clear simulation showing your current payment, your new payment, and a comparison of the total costs so you can make an informed decision.
Once the consolidation deed is signed, the process is very simple for you. We take care of everything.
The funds from the new loan are released. Our institution then contacts each of your former creditors to request the final settlement statement. We then make the transfers to fully pay off all the debts included in the consolidation operation.
You will receive confirmation that your old loans are closed. From that moment on, you only have to worry about your new, single monthly payment. This is the key to simplification and peace of mind.