What debt should I consolidate with a mortgage refinance?
The best practice is to prioritize. First pay off debt that has a considerably higher interest rate than your mortgage.
Is a cash-out mortgage refinance to pay higher interest debt a good idea?
A cash-out refinance to pay off high-interest credit card debt makes financial sense, especially when coupled with the discipline to never again run up credit card balances.
Can I deduct the mortgage interest paid after refinancing from my taxes?
Yes, that’s the great news. While you can’t deduct most interest paid on consumer debt like credit cards from your annual federal income taxes. your mortgage interest is deductible. That can translate into even greater savings. Be sure to ask your tax advisor or accountant for more information.
How much can I save by consolidating debt?
Looking to pay off credit cards or other high-interest debt by tapping into your home’s equity? This calculator can help. Enter your credit card and loan balances as well as the mortgage balance you wish to consolidate by clicking on the ‘Enter Data’ button for each category. Next, change the consolidated mortgage loan amount, term or rate to create a loan that will work within your budget.