I ask this because most lender said I have to refinance my 1st in order to pay off my 2nd, but if I do that because of my low credit score my interest will go way up and it will double what I am paying now. Is there a solution?
2006-12-15 01:49:39 · 4 answers · asked by mcoopd1 1 in Business & Finance ➔ Credit
Yes, you can. Check with your lender and compare interest rates with other lenders as well. See the site below for options. New lenders may have a lower interest rate but may also want to refinance your 1st as well. That could be in your best interest if the lower rate will save your the cost of the refinancing.
2006-12-15 02:18:51 · answer #1 · answered by Maddy Waddy 2 · 0⤊ 0⤋
Yes it is possible depending on how low your credit score is. If your credit was in a better situatioon when you originally got this second mortgage you already know that you will be taking a hit on the rate. Now if your credit score has fallen below around a 580 than there is really no way to refinance your second without doing your first.
2006-12-15 02:22:13 · answer #2 · answered by Michel D 2 · 0⤊ 0⤋
It is not required to refinance a first mortgage to get a new second. The problem is that seconds are harder to qualify for and with low scores you may not qualify.
Here is some additional info. Hope this helps.
2006-12-15 04:16:06 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Ive been trying to do this for 2 years, i have talked to many lenders, no luck not with bad credit they can only refi the first Good luck
2006-12-15 04:01:53 · answer #4 · answered by paula_5150 3 · 0⤊ 0⤋