It's payback time: remortgage to solve your debt problems - continued

Above all, don't panic and don’t feel ashamed. You’re not alone in being in debt – it's a problem that's faced by more and more people in this country. Good professional advice coupled with an appropriately tailored product can help eradicate debt for good.

A more and more popular solution is remortgaging, and there are now some very competitive and flexible products being offered in the Irish market. Even with a poor credit rating, it's still possible to obtain a remortgage product to suit your needs and help you get your finances back on track.

Remortgage to raise extra cash: a great number of homeowners in Ireland have large amounts of capital in their homes that they could easily access to solve their money problems. If you have equity in your home (i.e. excess value above the amount of any loans secured on it), remortgaging is a simple way to tap into the value of your home and convert it into cash without having to sell or move house, and it can often be cheaper than a personal loan. Think of the possibilities – as well as using it to completely clear all your debts, there are numerous other options: make that big purchase that you've always wanted – a new car or luxury holiday. Alternatively, use it to supplement your pension to make your retirement more comfortable, or make some home improvements – it's cheaper than moving and will increase the value of your house.

Remortgage to consolidate debt: bring all of your debts together into one regular repayment as part of your mortgage to make it easy to manage. If you look around, you will be able to find a good deal offering lower interest rates and you could end up saving a great deal of money on both your mortgage and debt payments. You might even be able to reduce the term of your mortgage.

A few words of caution though: before you do anything about re mortgaging, check the terms of your current mortgage to see whether there are any redemption penalties or administration fees. You should also weigh up the risks and benefits of transferring your borrowing to secured debt.

On the whole, remortgaging can be an effective solution for clearing debt problems, enabling you to make a fresh start towards a healthy financial future. If you're a homeowner and you're looking for a way to manage your finances more effectively, speak to a mortgage expert soon to find the best package for you.