If you own a home with equity in it and are battling with credit card debt, you may want to consider taking out a second mortgage to consolidate. Debt consolidation can be a good strategy to get yourself back on track, but only if you are serious about eliminating debt and putting an end to your credit card abuse.

There are a variety of types of home equity loans including home equity lines of credit (HELOC). A HELOC is a revolving line of credit that can be used like a credit card, but has a much better interest rate than a credit card. A HELOC though, is an adjustable rate loan and if you are looking at paying off your consolidated debt over a long period of time, a fixed-rate second mortgage may be better for you. Refinancing your debt with lowered interest can lower your payments and help you get back on your feet. You may also be able to write off the interest on your second mortgage. However, you should do your homework, look at rates and decide which product will work best for you.

There are several scenarios where you should not use your equity. If you plan on using your equity in the future, to cash out and pay for a college degree or home repairs, or perhaps a 2nd home purchase, you may want to look at better options. If you do not have enough cash flow to make the payments on a home equity loan, you're better off battling it out with the credit card companies. Using your home to get a lower interest rate with a secured loan means that if you default, you lose your home.

You may also want to refinance high interest loans or your current mortgage to either cash out or lower your mortgage payments. If you plan on selling in the near the future, interest only loans can give you lower payments for a while as you work on your debt. Freeing up cash flow can help you whittle away at your credit card, but only if you have the discipline. 'If the debt stems from fundamental underlying issues, like living beyond your means, then debt consolidation can be the worst choice," cautions Steve Rhode, president and co-founder of Myvesta.