Debt Consolidation Mortgage in Ontario
Turn Many High-Interest Debts Into One Manageable Payment
A debt consolidation mortgage lets you use your home equity to pay off high-interest credit cards, loans, and collections, all at once. TurnedAway.ca helps Ontario homeowners consolidate debt and lower their monthly payments, regardless of credit or income.
or call 1-855-668-3074
One monthly payment · No credit check to get started · Approvals in as fast as 24 hours
A debt consolidation mortgage uses the equity in your home to pay off multiple high-interest debts and replace them with a single, lower-rate mortgage payment. In Ontario, equity-based lenders approve based on your home's value rather than your credit score or income, which is why consolidation is often available to homeowners who have been declined by a bank.
1
One simple monthly payment in place of multiple high-interest debts
80%
Maximum loan-to-value we arrange, leaving equity protected as a buffer
No
Income verification required, approval is based on your home equity
24 hrs
Approvals possible in as little as 24 hours in urgent situations
What Is a Debt Consolidation Mortgage?
A debt consolidation mortgage uses the equity in your home to pay off multiple high-interest debts, such as credit cards, personal loans, lines of credit, and collection accounts, and replaces them with a single mortgage payment. Instead of juggling several creditors at high interest rates, you make one manageable monthly payment, usually at a far lower rate.
Because the loan is secured against your home, approval is based primarily on your equity rather than your credit score or income. That is why a debt consolidation mortgage is often available to homeowners who have already been declined by their bank.
At TurnedAway.ca, we arrange debt consolidation through several products depending on your situation: a home equity loan, a second mortgage, a mortgage refinance, or for homeowners 55 and older, a reverse mortgage.
How It Works
Consolidating your debt through TurnedAway.ca is straightforward. Here is what to expect from your first application through to your debts being paid off.
Apply Online
Complete our secure application at apply.turnedaway.ca. Tell us about your property, your mortgage, and the debts you want to consolidate. No credit check required to begin.
We Review Your File
Our team reviews your application, often within hours, confirms your equity position against our 80% loan-to-value cap, and identifies which consolidation solution lowers your payments the most.
Property Appraisal
An independent appraisal confirms your home's current market value, which determines how much equity is available to pay off your debts. We subsidize appraisal costs wherever possible.
Approval and Legal Work
Once approved, your lender issues a commitment with all terms and costs disclosed in writing. Your lawyer completes the legal work and prepares the payouts to your creditors.
Debts Paid Off
Funds are advanced and your high-interest debts are paid off in full. Collection calls stop, and you move forward with a single, manageable monthly payment.
Who Qualifies for a Debt Consolidation Mortgage?
Because this financing is secured by your home, approval is based primarily on your equity, not your credit score or income. Many of our clients were turned away by their bank before coming to us.
Homeowners with Equity
If you have built up equity in your home, it can be used to pay off your debts. We arrange financing up to a maximum of 80% of your home's value, leaving a protective buffer in place.
Bad Credit or No Credit
Missed payments, collections, consumer proposals, and past bankruptcies do not automatically disqualify you. Your equity is the primary approval factor.
Self-Employed or Fixed Income
No income verification or tax returns required. Whether you are self-employed, retired, or between jobs, you can qualify based on your home equity alone.
Buried in High-Interest Debt
Credit cards, lines of credit, payday loans, car loans, and collection accounts can all be consolidated into one lower-rate payment.
Declined by Your Bank
Banks often decline debt consolidation when credit has slipped or debt servicing ratios are too high. We work with lenders who look at the whole picture, not just a credit score.
Facing Other Pressures Too
If your debt comes alongside property tax arrears, CRA debts, or a power of sale, we can often roll everything into a single solution.
or call 1-855-668-3074
How Much Debt Can You Consolidate?
The amount available depends on your home's value and your existing mortgage balance. We do not arrange financing above 80% of your home's value, which protects you if property values decline. The example below shows how much equity could be available to pay off debt.
Simple Example
| Detail | Amount |
|---|---|
| Estimated Property Value | $700,000 |
| Maximum Financing at 80% LTV | $560,000 |
| Existing Mortgage Balance | $400,000 |
| Available to Consolidate Debt | $160,000 |
In this example, $160,000 is available to pay off high-interest debt, more than enough to clear typical credit card and loan balances. Use our home equity calculator to get a personalized estimate based on your own property value and mortgage balance.
Four Ways to Consolidate Debt Into Your Home
There is no single right way to consolidate debt. The best fit depends on your equity, your existing mortgage rate, your age, and your cash flow goals. TurnedAway.ca can arrange all four of the options below.
| Option | How It Consolidates Debt | Best For |
|---|---|---|
| Home Equity Loan | A lump sum secured by your equity pays off your debts at once | A clear, fixed payoff of multiple debts |
| Second Mortgage | Pays off debts without touching your existing first mortgage | Keeping a good first mortgage rate in place |
| Mortgage Refinance | Replaces your mortgage with a larger one that absorbs the debt | Rolling everything into one payment at the lowest rate |
| Reverse Mortgage | Pays off debt with no required monthly payments (age 55+) | Retired homeowners who want to ease cash flow |
Our Commitment to Responsible Lending
TurnedAway.ca has been helping homeowners who were turned away by the big banks for decades. We are not a finance company. We are a licensed mortgage brokerage, and our job is to give you honest guidance, not just a transaction.
We do not arrange financing above 80% loan-to-value. When a homeowner is already under pressure from debt, taking them to the very edge of their equity creates risk we are not willing to accept on their behalf. Every solution we arrange leaves meaningful equity in place as a buffer.
Consolidating debt into your home lowers your payments, but it also moves unsecured debt onto your property. We will walk you through what that means, make sure the math genuinely improves your situation, and encourage you to pair consolidation with a plan to avoid taking on new high-interest debt afterward.
The full cost of any solution, including the interest rate, lender fee, broker fee, legal fees, and appraisal, is disclosed in writing through a formal Cost of Credit Disclosure for your specific deal before you commit. For independent guidance on managing debt, the Financial Consumer Agency of Canada is a helpful resource.
or call 1-855-668-3074
Real Client Results
Every situation is different. Here are three examples of how TurnedAway.ca helped Ontario homeowners consolidate their debt and dramatically lower their monthly payments when traditional lenders said no.
Case Study 1 | Oshawa
Oshawa Family Consolidates High-Interest Debt and Collection Accounts
A married couple had accumulated approximately $82,000 in unsecured debt, including credit cards, lines of credit, and several accounts that had been sent to collections. Minimum monthly payments were consuming a significant portion of their income, and collection calls had become a daily source of stress.
The family's credit had deteriorated because of missed payments, making traditional debt consolidation through their bank impossible. Although their income was stable, the credit challenges resulted in repeated declines. We arranged a second mortgage secured by the equity in their home and used the proceeds to pay off the unsecured debts in full.
Result: Collection activity stopped immediately, high-interest debts were eliminated, and the family's combined monthly debt obligations were reduced by approximately $1,350 per month. Instead of managing multiple creditors, they had a single, manageable mortgage payment and a clear path toward rebuilding their credit.
Case Study 2 | Durham Region
Durham Region Homeowner Consolidates Debt After a Medical Leave
A homeowner experienced an extended medical leave that led to significant financial strain. During that period, credit cards, personal loans, and a line of credit were used to cover household expenses. By the time they contacted us, the total unsecured debt had grown to approximately $68,000, with interest rates ranging from 12% to 29%.
Although the homeowner had returned to work, recent credit issues and debt servicing ratios prevented approval through a traditional lender. We arranged a home equity loan using the available equity in the property and consolidated the outstanding debts into one solution.
Result: More than $68,000 of unsecured debt was eliminated. Monthly debt payments dropped from approximately $1,950 per month to under $800 per month, creating much-needed breathing room in the household budget and reducing financial stress considerably.
Case Study 3 | Clarington
Clarington Self-Employed Borrower Consolidates Business and Personal Debt
A self-employed contractor had accumulated approximately $110,000 in combined personal and business-related debt, including credit cards, equipment financing balances, and tax obligations. While the business remained profitable, fluctuating income and complex self-employed earnings made it difficult to qualify for conventional financing.
Several lenders declined the application because traditional income verification did not accurately reflect the borrower's overall financial position. After reviewing the available equity in the home, we arranged a mortgage refinance that consolidated the outstanding debts into the mortgage.
Result: Over $110,000 in debt was consolidated into one payment, eliminating multiple creditors and significantly improving monthly cash flow. The homeowner was able to focus on growing the business rather than managing numerous high-interest payments and collection concerns.
or call 1-855-668-3074
Where We Serve
TurnedAway.ca helps homeowners consolidate debt across Canada. The cities below represent areas we serve regularly, but they are not an exhaustive list. We work with homeowners in every province and territory with the exception of Quebec, Newfoundland, Yukon, the Northwest Territories, and Nunavut.
Call us at 1-855-668-3074 or get started online today.
Debt Consolidation Mortgage FAQs
What is a debt consolidation mortgage?
A debt consolidation mortgage uses your home equity to pay off multiple high-interest debts and replaces them with one mortgage payment, usually at a much lower interest rate. It simplifies your finances into a single monthly payment and can significantly reduce the total you pay each month.
Can I consolidate debt with bad credit?
Yes. TurnedAway.ca works with lenders who approve based on your home equity, not your credit score. Missed payments, collections, consumer proposals, and past bankruptcies do not automatically disqualify you. The equity in your home is the primary approval factor.
What types of debt can I consolidate?
A consolidation mortgage can pay off credit cards, lines of credit, personal loans, payday loans, car loans, collection accounts, and utility arrears. In many cases it can also clear property tax arrears and CRA tax debt at the same time.
Do I need income verification to qualify?
No. The lenders in our network approve based on your home equity rather than proof of income. Whether you are self-employed, retired, on a fixed income, or between jobs, you can qualify based on your equity alone.
How much equity do I need?
The more equity you have, the more debt you can consolidate. You need enough equity to cover the debts and associated costs while staying within our 80% loan-to-value cap. Use our home equity calculator to get a personalized estimate.
Will consolidating debt affect my credit score?
In the short term, the lender's credit check may cause a small dip. Over time, paying off your debts in full and reducing the number of balances you carry can help your credit recover, as long as you avoid taking on new high-interest debt afterward.
Is consolidating debt into my home the right move?
It depends on your situation. Consolidating lowers your payments, but it moves unsecured debt onto your property, so it works best when paired with a plan to avoid new debt. We review the math with you honestly, and if consolidation is not the right answer, we will tell you.
How quickly can my debts be paid off?
In urgent situations, approvals are possible in as fast as 24 hours, with funding and creditor payouts following once the legal work is complete. The exact timeline depends on the appraisal and your lawyer, but consolidation often moves much faster than borrowers expect.
Ready to Replace Many Payments With One?
See how much of your high-interest debt you could consolidate into a single, manageable monthly payment. There is no obligation, and no credit check to get started.
Get Approved Nowor call 1-855-668-3074