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Old 07-23-2005, 09:43 PM
terry1156 terry1156 is offline
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Default Re: Refinance to consolidate debt?

I seemed to have completely missed that. Thank you for pointing that out 34saving. I found the post and this is what it said:

"I have 7.9% on 4 thousand, 0% on the 11 thousand till it's paid (yes, our credit is that good). "

My first question is why would you ever want to roll the $11,000 that is interest free into your home loan?!?

Pay the minimum on the $11,000 each month for now. Concentrate on the $4,000 at 7.9% - see if you can get that on a 0% card too. If not, you might want to consider a HELOC for the $4,000 only. Since you seemed determined to pay off the debt, it's unlikely that interest rates will rise enough to make it a higher loan than the 7.9% you're currently paying.

If you do decide to refinance for the lower monthly payment, I would only put in $4,000 to get rid of that credit card debt. Since the $11,000 is interest free, there is no reason to start paying a higher interest rate plus trade unsecured debt for secured debt.

What is your minimum monthly payment on the $11,000 and on the $4,000?
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