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Home Equity Loans and Mortgage Refinancing Decatur AL

Home equity loans and home line of credit loans are often a good way to finance the purchase of a car. Refinancing your mortgage is another option. However, understand the benefits and the risks before making a decision.

American General Auto Finance
(800) 457-3741
2768 Eastern Blvd
Montgomery, AL
 
Car Donation
(626) 263-9264
112/a bau
mymensingh, AL
 
Pioneer Credit Corporation
(256) 845-2698
2904 Greenhill Blvd NW
Ft. Payne, AL
 
Family Security Credit Union
(256) 552-4381
50 Marco Dr
Decatur, AL
 
Alabama Mortage Depot Inc
(256) 353-1336
107 2nd Ave NE
Decatur, AL
 
AutoLoansInAlabama.Com
Montgomery, AL
 
McCurry Motors
(256) 713-0575
2601 d north memorial pkwy
huntsville, AL
 
Fderaldebtreliefs
(801) 304-9936
3712 Philadelphia Avenue, Midvale, UT 84047
alasak, AL
 
Title Cash
(256) 350-1652
1026 6th
Decatur, AL
 
Alabama Title Loans
(256) 306-0118
2204 6th Ave SE
Decatur, AL
 

Home Equity Loans and Mortgage Refinancing

Looking for a source of cash to pay for a new car? Use the equity you already have in your home. Home equity loans and mortgage refinancing are often good solutions for people who need money to purchase a car. However, to use this type of loan for a car purchase, you should have good financial discipline and a stable lifestyle — and understand how such loans work.

Two different kinds of home equity loans - which is better?
A home equity loan is a conventional loan in which you borrow against your net financial interest, or equity, in your home. Such loans are for a fixed amount, have a fixed interest rate and a fixed term. The loan is paid down with monthly payments that cover both principal reduction and interest expense. The primary difference between this type of loan and a traditional car loan is that your home is the collateral, not your car. Should you default, your home could be at risk.

In comparison, a home equity line of credit (HELOC) is a variable-rate loan that is set up for a specified maximum draw amount. You can use (draw) any or all of that amount over a specified period of time, usually 5 to 10 years. There is also a specified repayment period, usually 10 to 20 years. Typically, a borrower only pays interest during the draw period, but must pay both principal and interest afterwards. Up front costs are typically fairly low. Interest rates are tied to the prime rate which can vary day to day. In this sense, HELOCs are like a...

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