If you watch television, you cannot help but notice that equity loan commercials are everywhere. As a way of establishing consumer trust, the banks hire public figures such as your favorite sports stars to promote the benefits of acquiring a home equity loan to get out of debt. They also emphasize the benefit of being able to write the interest off. However, they forget to tell troubled consumers that equity loans are a good solution to their problems, only if they have adjusted their view of credit and their spending behavior. Much like determining whether credit is "good" or "evil," determining whether equity loans are "Jeckyl" or "Hyde" is dependent on the behavior that we exhibit after acquiring them.

As a solution to troubled finances, consumers should approach equity loans with cautious enthusiasm. The truth is, equity loans can be a debtor's saving grace, but they can also be their worst nightmare. When combined with household budgeting and a repayment plan, acquiring a home equity loan can be an extremely effective tool that offers instant payment relief and eliminates debt relatively quickly. When combined with poor budgeting and continued irresponsible spending habits, acquiring a home equity loan will simply be a short-term, quick fix that creates a false sense of security for the consumer and leads to more irrational spending. Troubled debtors that are forced to turn to equity loans, and do not adjust the habits that caused them to have to depend on the loans, often overextend themselves and allow their finances to live on borrowed time.