Don’t Owe More Than its Worth – When to Refinance Your Loan

Don't Owe More Than its Worth - When to Refinance Your Loan

The economy has been in a tough place for several seasons now. What this means for many Americans is that the loans they assumed in good conscience in the past are now becoming increasingly more burdensome in the present. If this describes you, you are definitely not alone!

Some people are struggling with a mortgage payment while others may be wracking their brains trying to figure out how to keep paying off their auto note on time. Still others might be wondering if it is time to sell that treasured boat or RV that, at the time, was a lifelong “dream purchase.”

Regardless of where you find yourself with your current debt obligations, this helpful guide can give you steps to find a way back to financial sanity.

Owe Too Much on Your Mortgage?

The housing market, like the economy, has upswings and downturns. Life doesn’t always allow you to purchase a home just at that moment when the interests rates are lowest or it is a “buyer’s market.” If you owe more on your home than it is even worth, or you bought out of necessity when interest rates were high, you are not locked in. You can refinance your mortgage to relieve yourself of both high interest payments and high note payments.

Having Trouble Paying Off Your Car Loan?

More and more people today are seeking quotes to refinance auto loan payments. This is because the auto industry is also struggling, and so dealerships and resellers are ever more inclined to do whatever it takes to keep customers loyal and auto loans in house. You can use this to your advantage to lower both your interest rates and your car payments. Find out the best interest rates that your credit score will permit. Then reach out to your current financier to ask for a lower interest rate. If you receive a “no,” shop around. With a little research you can find a lender who will negotiate a refinanced loan deal at a better interest rate, alleviating your financial crisis right away.

Owe Too Much on Your Credit Cards?

When you are in a financial bind, it is easy to seek a temporary solution by “going on credit” for any expenses you are not required to pay in cash right away. But this temporary solution – well meant and certainly reasonable at the time – can add up over time. Add in steep interest rates, and soon it can start to feel like you will never ever pay off what you owe. This is a terrible feeling. But you can use your negotiating skills and the awareness that credit card companies will do just about anything to keep you from defecting to their competitors to ease those high payments. First, call the credit card company and simply ask for a lower interest rate. Most companies will agree rather than lose a customer.

Need to Alleviate Other Loan Debt?

In times of plenty, many people will splurge and reward themselves by purchasing a second “dream car,” a vacation RV, a boat, or some other luxury item. But then if financial hard times come again, they may feel burdened by the very item that once brought joy. You just never know what life will bring from day to day and there are many people struggling with this very issue today. As with home, car, credit card, and other types of debt, refinancing options are available to support you to keep your treasured luxury vehicle or item with reasonable payments you can afford.

Felix Jacobson
Felix Jacobson is an authority in the tech and automotive industry. His passion is educating consumers on how to find the best deals out there - from great deals on new/used gadgets to the best auto refinance rates. He believes strongly that consumers should not be taken advantage of!

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