Mortgage Refinance with Debt Consolidation

[Robe123]

I am considering refinancing my mortgage first to roll in 30k debt I have and second to get a lower interest rate. (From 3.59 % to 2.04)
My home equity allows me to do that as I have sufficient capital. I contacted a legal advisor in Etobicoke, and he promised to talk about it. But I want to be more specific before meeting him.

My question is - when I refinance, and the new bank will run my TDS and GDS calculations. Would they use my current mtg payment (3.59%) or the new one (after refinance) to see if I am below the ratios? This amount will have debt rolled in, and it actually works out cheaper than current payment without liability.
Thanks!

[Taxing Matters]

I am considering refinancing my mortgage first to roll in 30k debt I have and second to get a lower interest rate. (From 3.59 % to 2.04)
My home equity allows me to do that as I have sufficient capital. I contacted a legal advisor in Etobicoke, and he promised to talk about it. But I want to be more specific before meeting him.

My question is - when I refinance, and the new bank will run my TDS and GDS calculations. Would they use my current mtg payment (3.59%) or the new one (after refinance) to see if I am below the ratios? This amount will have debt rolled in, and it actually works out cheaper than current payment without liability.
Thanks!

Etobicoke is in Canada. This site focuses on law in the U.S. so you'll need to find a Canadian site to help you. And likely what you need is a financial site rather than a legal one. The practices of lenders vary so ultimately the answer you are likely to get is that you need to ask the particular lender you want to use. In the U.S. the most common practice is for lenders to use the terms of the new loan to determine if you can afford to pay it since if they grant the loan, your ability to pay that loan is what matters, not whether you could pay the old one that you no longer have. I suspect it is much the same in Canada, but again, you'll need to ask a Canadian lending expert to confirm that.

[adjusterjack]

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[PayrolGuy]

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Did you check the embedded link? It seems to be a failed attempt at embedding a link. The URL is http://corporate%20debt%20consolidation/