Home Equity Line of Credit Toronto – Dangerous Debts

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Home Equity Lines of Credit in Toronto – Dangerous Debts

Over the last several years, we have seen increasing numbers of people in the Greater Toronto Area who have substantial home equity lines of credit – seeking insolvency help.

Unfortunately, what some people do not realize, is that a home equity line of credit loan is just like a mortgage, if you fail to pay it, the financial institution that issued the loan, may have the right to take possession of your home.

Dangers of Home Equity Lines of Credit

There are a number of dangers that some home equity line of credit borrowers experience:

  • Easy ATM access to loan funds and flexible repayment options – makes it easier to overspend.
  • Gambling with the equity of their home on investments. ‘Putting home equity to work’ is a concept that can have a devastating impact on families whose home equity is lost to bad investments.
  • Starting with home upgrading projects that quickly become an easy way to finance an unrealistic life style.
  • After paying off high credit card debts with a home equity line of credit – running the cards back up and taking out a second or third home equity line of credit.

Whatever the reason for taking out a home equity line of credit loan, the reality is, if housing prices drop (a very real possibility), or interest rates go up (a certainty), or you lose your job – the chances of losing your home may have increased.

An important fact to always keep in mind when you are dealing with your bank or financial institution – they are not your friends. They are selling products and services. They do not offer you a home equity line of credit as a gesture of good will. They offer it because they will make money on it – and they have the security of knowing that if you do not pay them back, they can seize and sell your home to get their money.

Step Away from the Edge

If you have a home equity line of credit, pay it off as quickly as you can.

It is always wise to practice sound money management and avoid unnecessary debt.

Take Your First Step Towards A Debt Free Life

If you are overwhelmed by debt, call us at 1-844-962-9200 to book a FREE, confidential appointment. We will review your financial situation in detail and discuss all of your options with you. Alternatively, you can fill out the form below and our team will reach out to you. 

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The team at David Sklar and Associates Inc are very professional and are willing to help you get out of debt. Highly recommended.
Melissa MacKenzie
12:35 29 Mar 23
I would like to thank the team at David Sklar and associates inc. for all the time and effort they put in to support this process for me. This topic can be challenging to disclose but a big thank you to Christine for going above and beyond in guiding me through all my options and supporting me through the decisions. I cannot recommend this group enough , as they have shown me compassion , knowledge , and understanding throughout the entire process. I look forward to the next step of this process and learning how the proper way of becoming financially educated through the support of their financial counselling team. For anyone who is struggling , just know that there is a wonderful group of educated professionals at David Sklar who are available to help!
Michelle Plouffe
18:45 14 Mar 23
It took me awhile to get up the courage to contact David Sklar but I’m so glad I did. Trina walked through my options with me and provided the knowledge I needed to make a decision to help turn my financial situation around. She is patient and empathetic and answered any and every question that I had. Trina provided me the reassurance I needed that I was making the best decisions for me and my family. I’m so happy that I reached out and now have a plan to get back on track.
M. Mackenzie
19:59 12 Mar 23
Trina was very helpful and thorough.
Sam M
15:26 12 Mar 23
Christine was very helpful, kind, and understanding. She explained everything thoroughly, answered any questions I had, and was responsive to any concerns I had. 100% would recommend
Katherine Campbell
17:29 08 Mar 23
Jackie Stanley is excellent she took the time to explain everything to me and I am so grateful to her for giving me a fresh financial start so if you have any doubts don’t and go see her if you want to achieve financial freedom!
Heather Helfield
21:24 06 Mar 23
Amazing friendly staff that knows what they are going. They make a difficult situation not so bad. Would give 10 stars if I could.
alie Balan
22:37 25 Feb 23
Very helpful and kind and gave me all the available options before helping me decide which one was best for me. I would definitely recommend Jackie
Alison Rivard
01:01 21 Feb 23
Great experience i was in financial trouble and someone of my friends recommended this company. Cori is a wonderful and welcoming person she did a very good job and came up with a smooth and flexible monthly payment after the reduction. i highly recommend this company. Thank you David sklar and special thanks to Cori.❤️🙏🏻
Jasmine Joseph
22:08 13 Jan 23
Met up with Mr. Jason Sklar to discuss more in person, very thorough and clear. He is very kind and thoughtful, I will be referring anyone with the same situation to David Sklar & Associates.
Ariel Domingo
02:33 29 Dec 22
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