The question many people ask is:  “Should I speak to my bank or my Financial Adviser about debt consolidation?”

In general, the difference between a Financial Adviser and a Mortgage Broker can be summarised as the following: A Broker will offer products and an Adviser will offer advice in the form of a strategy before looking at products.    Many mortgage brokers may offer to refinance your home and roll all debts into one loan however they will not sit with you to look at your financial plan, simulate cash-flows or look at how consolidating may affect your long term investment strategy.

Debt consolidation should provide you with transparency, manageability and better cash-flow position – if this is not possible (or if consolidating returns minimal benefit to you) your Adviser may not recommend it but rather choose to explore other strategies.