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We are having problems getting a home equity loan because of bad debt to income ratio. We have enough equity in our home to pay off all credit card debt. Is there a company that can help us get a loan?

Unfortunately, I do not really work with companies who provide loans, however, I will refer you to the service that I use to find home loans. I discuss that here.

Getting a refinance loan has gotten much tougher due to the tighter standards being placed on debt to income ratios by the lenders. This is a direct result of all the aggressive lending practices that took place the past 5 years resulting in the current housing bubble. Truthfully, a lot of people’s home equity has shrunk in the past year as real estate values are falling in most places.

The lenders are readjusting their appraisal values and when you combine that with the tighter lending standards (ie- you now need a much better debt to income ratio than even a year ago), loans are getting much more difficult to find.

You may want to leave the equity you have in your house and look into another debt relief solution like a debt management program to help you better manage your monthly payments. Best of luck to you.