Warning to all who think that the equity in your home is easy money and will solve your financial problems. Do you need money to pay bills or carry out home improvements? And thinking refinancing, a second mortgage, or a home equity loan may be the answer, look at your options cautiously. If you can't make the expected payments, you could lose your home as well as the equity you have accumulated so far. Do not let anybody talk you into using your home to acquire money you don't actually need.

Loaners or lenders are not all created equal. A few unprincipled lenders prey on the elderly and low-income homeowners and those with credit problems. The lenders may offer loans supported on the equity in your home, not on your ability to pay back the loan. Credit costs and high interest rates can make borrowing money with your home expensive.

Confer with your lawyer, financial consultant, or anyone else you trust before making any loan conclusions. House counseling and non-profit credit services can also be useful in helping you handle

your credit and make decisions about loans.

Avoid any lender with these Early Warning Signs:

1. requires you to fake information on the loan application. Like, the lender tells you to say that your loan is mainly for business uses when it's not.

2. presses you into asking for a loan or applying for more money than you want.

3. presses you into taking monthly payments you can't make.

4. neglects to furnish required loan disclosures or asks you not to read them.

5. falsifies the kind of credit you're getting. Like, naming a one-time loan a line of credit.

6. assures one set of terms when you apply, and presents to you another set of terms to sign and with no valid explanation for the switch.

7. asks you to sign blank forms and they will fill them in later.

8. declares you can not have copies of papers that you've signed.

What has been presented to you above does not apply to all lenders, but you all know there are people out there that just care about taking your hard earned money so be extremely careful.