There’s a brand new loan out there that let’s you payoff your student loans without the typical penalties!
Well, to explain the benefits of this loan we first need a little background. Normally, when you refinance to take $ out of your home to payoff anything other than your current mortgage it’s called a Cash-Out Refinance. It’s a perfectly acceptable, common, and even strategically sound way to lower your monthly expenses. BUT, a Cash-Out refi can come with some additional costs in your rate, and limit how much you can borrow.
Our new loan now allows you payoff Student Loans thru a refinance with NO Cash penalties! This can be a huge savings. For example you could see rates .375 lower (or more!) on this program. On a $450,000 loan a .375% reduction in rate saves $100/mo. If you add in the potential savings of you already get from rolling in your student loans – the monthly reduction in obligations can be huge.
Of course, as with any loan, it’s very important to do some strategic comparisons to make sure it’s the right move. Restructuring debt can be a tricky process and you want to work with someone you trust to give you good advice. If you’d like to learn more about this program, or know someone that would, click here to shoot me a quick email – or just give me a call!
- Jeremy Beck