10 Reasons to Refinance and Consolidate Debt Today in 2023
We have all experienced rising high prices, inflation, and higher interest rates giving us less spending power and reducing how much we have to contribute to our savings, iras and checking accounts. We have devised a 10-point debt consolidation plan to help your outlay on bills and increase the amount you save per month by thousands of dollars. Make 2023 the year to be debt free save more money for retirement. Quit paying high interest to companies who don’t care about your financial future. Take control of your financial goals and make yourself debt free with reasonable goals and empower yourself to give your family the type of life you envision without any debt. Leverage the equity in your home and borrow against your home equity to do a debt consolidation refinance.
- Lower your Overall Payment into one payment.
The goals is to save thousands a month, consolidate your car, credit cards, retail cards, many of these cards or costing you 15% to 20% in high interest payments. Alot of car payments today or $400, $500 or $600 dollars a month. If you leverage the equity in your home you can pay off all cars, vehicles and save on the interest you are paying each month. Many clients we do refinances for will save $500 a month up to $ 2,000 to $3,000 a month giving them an extra 25,000 to 40,000 a year in extra cash to save or pay down on your home. - Cash out for Reserves and Emergencies
It’s a great ideal in today’s world to have 6 months of extra cash on hand encase of emergencies. You don’t want to be scrambling to a bank trying to get cash out. Give yourself peace of mind and keep the extra cash in a safe place. - Improve your Credit Score
When you pay all your bills off, if you have average credit, this will bring down you high revolving balances, if you’re carrying the credit cards to the limits, this is bringing your credit scores down. You may see a jump of 50 points to over 100 points in you credit score once you consolidate all your debt and pay off the high interest cards. - Shorten the Loan on your Mortgage and Use some of your extra monthly Saving to pay your home off early.
Let’s say you’re on a 30-year fixed, and you have done a debt consolidation refinance and your saving $3,000 a month. Thats 36,000 a year. How if you go form a 30 year to a 20-year loan and you were paying 1200 a month on your mortgage payment. You would be saving over 130,000 in mortgage payments. Now you are saving, 36,000 a year plus 130,000k over the life of the loan. You can take an extra thousand a month and pay down on your 20-year mortgage and make it a 12- or 15-year mortgage. Now you have really empowered yourself to building wealth, increasing your saving power and eliminating endless debt. - Home Improvement
If you’re going to use any of the extra cash you have saved, it would be to either pay down your mortgage to shorten your mortgage term or to do home improvement. You home is the most valuable assets, and you can increase that assets by always having your home in impeccable condition with modern appliances, upgraded kitchen and restrooms. Curb appeal and pride of ownership always will get you more value and sales price should you decide to sell you home. - Save on Mortgage Insurance
If you refinance you maybe be able to get rid of private mortgage insurance that the lender is forcing your to have, not your homeowners but private mortgage insurance. This is an extra cost on your loan. This savings alone can add up to several hundred dollars a month. - Consolidate all debts and eliminate the high interest credit card payments.
Quit paying 12% to 30% on charge cards that or taking your hard-earned money away. Keep that money, take control of your finances and save it. You should have one credit card that you don’t use for emergencies. Don’t charge food on you credit cards pay cash, try to pay cash in today’s world is tough. Lenders, companies, and everyone wants you to charge however all the charging is a control device to get you to pay fees, get rid of over drafts, late fees, and fees you pay its adds up to many thousands of dollars each year. This is one piece of a larger financial puzzle that will allow you to save more money. Pay cash or don’t get the product, good or service at all. Just wait until you have the cash to pay for it. - Save on Interest Payments
You might not be saving on lower your current mortgage interest rates with rates being higher today. But when you factor your bills, credit cards, high car payments, and high interest credit cards. Your savings of thousands, and interest savings on 20% credit cards, you will surpass the 1% savings and it maybe be over 5% or more. Factor and look at the overall financial picture not just the mortgage rate. - Lower Interest Rates
Consumers who pay their debt off on time and don’t keep high balances, have higher credit scores and get lower interest rates over time. Doing a debt consolidation loan if you have the equity in your home, and your credit is bad, paying off all the high interest debt will help improve your scores. You want to be able over time to save thousands extra should you need to get a loan in the future and you certainly want to qualify with the lower interest rate. - If you have outstanding student loans, irs liens, or any type of judgement on your home
Leverage your cash in the home to pay those items off. All of these will improve your credit. You don’t the irs to place a lien on your home, or have any judgements on your title where you can’t get a loan or anything else. We specialize in helping clients with less than prefect credit get the Florida Debt Consolidation refinance you need. Our underwriters have 100’s of years of experience to help you explore your loan options and tailor a loan that is just for you. Our loan process is easy, fast, streamlined and will give you peace of mind.