Pay Off
Another
Loan
(i.e. Auto, Personal Loan)
Pay Off Another Loan
(i.e. Auto, Personal Loan)
What is the Benefit?
Paying off a loan through a cash-out refinance is a great way to save interest and/or lower your monthly payment. You can pay off almost any type of installment loan through a cash-out refinance such as auto loans, student loans, personal loans, and you can even pay off revolving credit such as your credit cards.
Consolidating your loans into one payment is a finance hack that can save you thousands and a great way to take advantage of the current property equity increase.
Here’s the breakdown on benefits of taking advantage of a cash-out refinance versus financing other debt through other types of loans:
Traditional Loan
Higher Interest Rates: Auto loans, personal loans, or any other type of financing typically have high interest rates starting from 5% or greater
Higher Monthly Payment: the term of a typical installment loan is 5-7 years combined with a higher rate making the payment substantially higher when compared to the payment of a cash-out refinance mortgage financing in the same debt
What Will My Monthly Payment Be?
No Credit Check
No Application
No Obligation
Cash-Out Refinance
One Monthly Payment: once we payoff your other loan, your loans will be consolidated into one mortgage loan so you don’t have to worry about making payments to another lender
Lower & Fixed Interest Rate: many installment loans have higher rates, adjustable rates, or start out with a low teaser rates and convert to adjustable rates once the teaser period ends
Lower Monthly Payment: mortgage terms are longer (up to 30 years) which will lower your monthly payment versus paying them separately
Example: A $50,000 loan at a rate of 4.99% is about $943 per month over 5 years, however, that same amount borrowed against the equity of your home may be only $300-400 more than your current monthly payment even when including the debt from the other loan into your mortgage. This results in a cashflow increase of $500-600 per month. This is only an example of course and we are always happy to show you an apple-to-apple scenario to see if a cash-out refinance would indeed make sense for you in lieu of a traditional vehicle loan
What Will My Monthly Payment Be?
No Credit Check
No Application
No Obligation
No Credit Check
No Application
No Obligation
Start Today, Close Your Loan in 10 Days
See how simple it is. Get a quote in minutes, loan estimate in 2 hours, and close in about 10 days!