Calculator
Debt consolidation mortgage calculator
See what rolling high-interest debt into your mortgage does to your monthly cash flow, and how much extra interest you pay by spreading short-term debt over a long amortization.
Your numbers
Your home and your mortgage
What it would sell for today. A lender will confirm it with an appraisal.
Debts to roll in
Enter the balance, the rate and the payment you make each month.
The new mortgage(3)
Starts at our published 5-year fixed. A refinance is priced slightly above a purchase.
A longer amortization lowers your monthly payment and raises the total interest.
Prepayment penalty, legal fees and appraisal. These get added to the new mortgage.
Put the freed-up cash toward the new mortgage instead of spending it. This is what makes consolidation work.
Rate taken from the RateLens published table, current as of September 21, 2026 at 9:00 a.m. MT. Rules, premium tiers and fee schedules current as of September 16, 2026.
Freed up every month
$1,242.10/mo
Your payments drop from $4,149.66 a month across 4 obligations to $2,907.56 on one.
- New mortgage
- $477,50053.1% loan-to-value
- Debt rolled in
- $55,0003 debts paid out at closing
- Interest on that debt over the new amortization
- $26,529If you only make the minimum payment
- Paid off in
- 3 years, 3 monthsIf you keep paying today's total
Read this before you decide
Interest on the debt you roll in
Your monthly payment usually goes down. The total interest on the debt you move can go up.
You’d be moving $55,000 of debt from rates as high as 19.99% and spreading it over 20 years. At the minimum payment, that debt alone costs $26,529 in interest.
Keep paying the $1,242.10 you’ve freed up and the same debt is paid off in 3 years, 3 months instead of 20 years, saving $22,602.
Put toward the whole new mortgage, the same payment pays it off in 12 years, 2 months and saves $92,099 of interest.
- Refinance cap
- 80% LTV
- Room left
- $297,500
- Mortgage compounding
- Semi-annual
- Consumer debt compounding
- Monthly
- Rules as of
- September 16, 2026
Today
Every payment you make each month now.
| Mortgage payment$420,000 at 4.99% over 20 years | $2,757.66 |
|---|---|
| Credit card$12,000 at 19.99% | $360.00 |
| Line of credit$28,000 at 9.45% | $520.00 |
| Car loan$15,000 at 7.99% | $512.00 |
| Total each month, today | $4,149.66 |
After
A single mortgage payment to one lender.
| New mortgage payment$477,500 at 4.09% over 20 years | $2,907.56 |
|---|---|
| Consumer debt paymentsEvery debt above is paid out at closing | $0 |
| Total each month, after | $2,907.56 |
Total interest before and after consolidating
Over the full life of each option. The monthly payment doesn't show this.
| Measure | Today | After consolidating |
|---|---|---|
| Interest on the mortgage | $241,838 | $220,314 |
| Interest on the consumer debtsPaid out at closing | $15,973 | $0 |
| Total interest | $257,811 | $220,314 |
| If you keep paying today's totalCleared in 12 years, 2 months | — | $128,215 |
Your total monthly payments today and after consolidating.
- Today, across every debt$4,149.66
- After consolidating$2,907.56$1,242.10 less
| Jurisdiction | Monthly outflow |
|---|---|
| Today, across every debt | $4,149.66 |
| After consolidating | $2,907.56 |
Check your prepayment penalty first
Breaking your current mortgage mid-term usually costs 3 months’ interest or an interest rate differential. On a big-bank fixed rate, that can be five figures. Work out yours before you decide whether this is worth doing.
Freed up every month
$1,242.10/mo
How this is calculated
Every figure on this page comes from one tested calculation engine. Here’s what it does.
How the new mortgage is calculated
The new mortgage is your existing balance, plus every debt balance, plus the cost of refinancing (penalty, legal and appraisal). That total is capped at 80% of your home’s value, because a refinance can’t be default-insured. Your monthly saving is everything you pay today, minus the payment on the new mortgage.
The calculator uses 2 compounding methods. Your mortgage compounds semi-annually, not in advance, as section 6 of the federal Interest Act requires. Consumer debt compounds monthly: the rate on a card is divided by 12, which is why a 19.99% balance grows faster than the difference in rates suggests.
The extra interest on consolidated debt
Moving a 3-year car loan onto a 20-year amortization lowers the payment and raises the lifetime interest on that debt, sometimes by more than the debt itself. We run the consolidated debt as its own small amortization, so you can see that figure on its own instead of buried in a bigger mortgage.
What decides whether this works is whether you keep paying what you pay today. The calculator shows both: the payoff at the new, lower payment, and the payoff if you put the freed-up cash toward the mortgage.
The 80% refinance limit
Refinances are capped at 80% loan-to-value across Canada. If your balance plus your debts plus the costs go over that, the calculator stops and shows you the largest amount you could consolidate.
What this calculator doesn’t include
You enter your prepayment penalty as part of the refinance cost. Only your lender can give you a binding figure, so estimate it here first. We assume revolving balances keep the payment you entered. A card whose minimum payment drops as the balance drops will take longer to clear than shown.
Common questions
Is consolidating debt into my mortgage a good idea?
It depends on what you do with the money you free up. Moving a 19.99% balance to a rate near 4% saves a lot in year one.
It also does 2 other things. It secures unsecured debt against your home, and it stretches a 3-year debt over 20 years, which can cost more in total interest than the card would have. It works when you keep paying what you paid before. It goes wrong when the freed-up payment turns into a new balance on the same card.
How much debt can I roll into my mortgage?
A refinance is capped at 80% of your home’s value, and that ceiling has to cover your existing balance and the cost of refinancing too.
On a $900,000 home with a $420,000 mortgage and $2,500 of costs, that leaves about $297,500 of room. The calculator works out your limit and won’t model a scenario above it, because no lender would fund it.
Do I have to break my mortgage to consolidate?
Usually, yes. The exceptions are if you’re at renewal, or if your lender will lend on a second charge behind your existing mortgage.
Breaking mid-term means a prepayment charge: 3 months’ interest on a variable rate, and the greater of 3 months’ interest or an interest rate differential on a fixed rate. Calculated against posted rates at a big bank, that can run into five figures. Put it in the refinance-cost field before you decide. Estimate yours.
Will consolidating hurt my credit score?
In the short term, a refinance means a hard inquiry and several accounts paid out. That can move your score a few points either way.
Over the medium term, replacing several near-limit revolving balances with one instalment mortgage usually improves your utilization ratio, which is a big part of your score. The bigger factors in the decision are your cash flow and the total interest.
What if one of my debts is cheaper than my mortgage rate?
Leave it out.
A 0% promotional car loan or a subsidized student loan rolled into a mortgage at 4% raises your balance without saving any interest. The calculator flags any debt with a rate below the new mortgage rate.
What to work out next
- Mortgage penalty (IRD)Breaking your current mortgage has a price. Work it out before you commit.
- Refinance break-evenThe same refinance, worked out as a break-even instead of a cash-flow question.
- HELOCAnother way to borrow against your equity. It's revolving credit, and it's priced differently.
- Mortgage paymentWhat the new mortgage costs at every payment frequency.
- PrepaymentSee what the freed-up cash does when you put it toward your mortgage.
- Maximum purchase priceA refinance is underwritten again. See what your ratios will look like.
This calculator provides estimates only. Results are based on the information you enter and on assumptions that may not reflect your actual qualification, rate or costs. These include semi-annual, not-in-advance compounding for fixed rates, as required under section 6 of the federal Interest Act, and the mortgage default insurance premium tiers published by CMHC, Sagen and Canada Guaranty. It is not mortgage advice, a quote, a rate hold, a pre-approval or an offer of credit, and RateLens does not guarantee its accuracy or completeness. Your actual rate, payment, default insurance premium and closing costs will depend on your credit profile, income, the property, the lender’s current rates and policies, and other factors confirmed during a full application.
Rules snapshot: September 16, 2026. Rates shown are calculation assumptions, not confirmed offers. Speak with Daniel De Sousa, Mortgage Associate, for a personalized quote. Indi The Independent Mortgage Company Ltd. o/a Indi Mortgage, a licensed mortgage brokerage licensed by RECA.
Daniel De Sousa, Mortgage Associate, is licensed by the Real Estate Council of Alberta and registered with Indi The Independent Mortgage Company Ltd. o/a Indi Mortgage.
Indi The Independent Mortgage Company Ltd. o/a Indi Mortgage is a mortgage brokerage licensed by the Real Estate Council of Alberta (RECA). Verify our licence on RECA ProCheck(opens in a new tab)
RateLens is a trade name used by Daniel De Sousa, Mortgage Associate, licensed in Alberta by the Real Estate Council of Alberta and registered with Indi The Independent Mortgage Company Ltd. o/a Indi Mortgage.
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