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Home Equity Loans and Mortgage Refinancing Mason City IA

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.

AutoLoansInIowa.Com
Des Moines, IA
 
Advance America Cash Advance
(641) 424-5750
626 S Monroe Ave
Mason City, IA
 
Bank of America
(641) 421-1081
25 W State St
Mason City, IA
 
Community National Bank
(641) 423-2457
100 E State St
Mason City, IA
 
Wells Federal Loan Office
(641) 424-6691
4700 4th St SW
Mason City, IA
 
Ace Cash Advance
(641) 424-5772
2560 4th St SW
Mason City, IA
 
Check 'n Go
(641) 424-5101
402 Indian Head Dr
Mason City, IA
 
Countrywide Home Loans
(641) 423-3358
1314 4th St SW Ste 203
Mason City, IA
 
First Citizens National Bank
(641) 424-1600
33 E State St
Mason City, IA
 
Bank of America
(641) 421-1081
25 W State St
Mason City, IA
 

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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