| You might be thinking that with interest rates at record | | | | than what you are currently paying. There are credit |
| lows right now, now might be the best time for you to | | | | repair companies that will help raise your score if you |
| refinance your home equity loan. This is definitely true if | | | | need it. This will benefit you in more ways that |
| you are in a position to do so. | | | | refinancing your home equity loan. |
| But there are some things you need to consider first. | | | | If you are getting the adjustable type, keep in mind that |
| Even though your payments will be lower if you | | | | your payments can change every month because |
| refinance at a lower rate, your income streams need | | | | your rate is not fixed. Seeing that rates are so low |
| to be secure enough. You will need to meet the | | | | now, they are bound to go up at any time. If they do |
| monthly payments for the term of the loan. | | | | start going up, you need to prepare yourself to pay |
| The value of your home needs to be high enough for | | | | more later on. |
| the bank to accept it. If you owe more than your | | | | Pick your loan officer carefully as he or she can have |
| house is worth because you got the home equity loan | | | | a big impact on the deal you get. A good one will not |
| when home prices were higher, you probably will not | | | | be afraid to get you into the best one, even if that |
| be able to refinance the whole amount. If you are still | | | | means there is less rebate money coming in. Really, a |
| paying for your first mortgage and this one is 85% or | | | | good one will pass on the savings to you. If you have |
| less of your home's value, then you might be able to | | | | special circumstances, while others may decline you on |
| refinance that one and get the benefits of these low | | | | the spot, a good one will work with you and try to |
| rates. | | | | come up with solutions. It may take a bit longer and it |
| Make sure your credit score is up to par. It needs to | | | | may take a few more steps, but if they are looking for |
| be as close to perfect as possible. The lower your | | | | a long term business relationship, then it will be worth it |
| score, the higher your rate will be which may be higher | | | | both for you and for them. |