I am trying to refinance my existing home loan, plus a 2nd mortgage as well as a number of other loans, cards etc. I do have 2 defaults on my file, one paid and one unpaid. Has anyone been in a similar situation and how did they refinance
Though refinancing your home loan to get extra cash and pay off your credit card debt might be a good idea. It is not the best solution. This serves best the credit card interests and not yours. Because even if you get your debt settled and eliminate it for good, if you don’t change the way you spend, you’ll keep accumulating debt once again and maybe next time you won’t be able to resort to your home equity.
Moreover, since refinance home loans generally worsen the terms of your mortgage, you are further risking your property if you fail to meet the monthly payments. And though you may be replacing expensive debt with cheaper and more affordable debt, you are also replacing unsecured debt with debt that is secured with your home. If you are not good at managing your finances (and that’s why you had to resort to debt settlement), that’s something that you’d better avoid. Read more from: http://www.credit-card-gallery.com/article/149,Credit_Card_Debt_Settlement_Avoid_Refinancing!
Though refinancing your home loan to get extra cash and pay off your credit card debt might be a good idea. It is not the best solution. This serves best the credit card interests and not yours. Because even if you get your debt settled and eliminate it for good, if you don’t change the way you spend, you’ll keep accumulating debt once again and maybe next time you won’t be able to resort to your home equity.
Moreover, since refinance home loans generally worsen the terms of your mortgage, you are further risking your property if you fail to meet the monthly payments. And though you may be replacing expensive debt with cheaper and more affordable debt, you are also replacing unsecured debt with debt that is secured with your home. If you are not good at managing your finances (and that’s why you had to resort to debt settlement), that’s something that you’d better avoid. Read more from: http://www.credit-card-gallery.com/article/149,Credit_Card_Debt_Settlement_Avoid_Refinancing!
References :
I have not been in that specific situation myself but I would recommend you make some calls and talk to some mortgage and refinancing companies and ask them what they can offer you…problem being that this takes time. there are also a number of websites out there that can take some of the hard work out of comparisons and give you assistance. one such I have found very useful is http://www.mortgagecalculater.com.au as i said though try to make lots of enquiries and talk to lots of people…the difference between the first option and the best option is often startling.
hope this helps and good luck with the refinancing
References :
http://www.mortgagecalculater.com.au