Discover Loan

[Shawn S.]

So we are in the process of closing on our first SFH. All figures seem to indicate that we will have just slightly under $200.00 per month in cash flow after all expenses. We also have $800.00 per month that used to go into our Roth IRA's that we are now using to acquire down payment money. So I'm looking at close to a year if we only get down payment money from these sources.

I got an offer in the mail yesterday and I'm sure others here saw it as well, but Discover is willing to loan me up to 25k at 9 percent interest. Up to 15k at 8 percent interest. I could use that money in the coming months on 2-3 more properties in the price range we are looking at. I just wondered what advice I could get concerning considering this option. 25k would be payments at right around $400.00 per month for 6 years I believe it was. I have not applied for it yet, but believe I could get the best rates with credit scores just under 800 and my wife's is even a bit higher. What would be the downsides to doing this? Would I take a credit score hit by taking that sort of loan?

Thanks,
Shawn