Homeowners Could Save $1,500 Moving Card Debt
A new Achieve study estimates New York homeowners could cut yearly costs by shifting high-interest credit card balances into home equity borrowing.
Updated on Nov. 4, 2026 in Debt Relief
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Would you borrow against your home equity to pay off credit card debt?
New York homeowners could save more than $1,500 a year by moving high-interest credit card debt to a home equity loan or line of credit, according to a new study by Achieve. The estimate is part of a national analysis of borrowing costs across states.
Why it matters
Credit card balances often carry much higher interest rates than home-secured borrowing, so the gap can translate into meaningful annual savings for households carrying debt. The findings also highlight that many homeowners remain unaware that home equity can be used to pay off credit card balances.
The estimate compares credit card interest costs with home equity borrowing rates across states, with New York's projected savings exceeding $1,500 annually while Connecticut's $1,676 is the study's highest. The analysis does not specify the rate assumptions behind each state figure.
The players
Achieve
Achieve is a financial company that conducted the study and survey comparing credit card debt costs with home equity borrowing.
The details
Achieve compared credit card balances and borrowing rates across the country to estimate savings from moving debt into a home equity loan or HELOC, which uses the home as security. In a survey of 1,036 homeowners, more than 30% did not know home equity could be used to pay off credit card debt, and over half said they would rather leave their debt alone even if it meant paying more interest.
Timeline
- November 4, 2026: Article published on the study's savings estimates.
Market Dynamics
The estimates reflect the spread between high credit card interest rates and home equity borrowing costs, a gap that widens or narrows with broader interest rate conditions. Achieve's survey also found that 70% of homeowners would consider home equity borrowing if HELOC rates fell, linking consumer willingness to federal rate trends.
Homeowners carrying credit card balances could reduce annual interest costs by moving that debt into a home equity loan or HELOC, but the home itself becomes collateral for the borrowing. Readers weighing this option should compare the total interest cost, fees, and repayment terms before converting unsecured debt into home-secured debt.
The takeaway
Homeowners with high-interest credit card balances should compare borrowing options, since the savings estimate depends on rates and the home is put at risk when debt is secured against it. Reviewing actual loan offers rather than relying on state averages gives a clearer picture of whether consolidation fits a household's budget.
Further reading
For more on managing balances, explore Debt Relief strategies available to New York borrowers.
Source note: This article includes information reported by WNBF News Radio 1290 AM & 92.1 FM.
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Would you borrow against your home equity to pay off credit card debt?
