RICHMOND, Va. (WWBT) - If you are looking to refinance a car, a house, or even credit card debt there are three fees to watch out for.
Cherry Dale with the Virginia Credit Union helped us put this list together. She says, number one, ask about origination fees.
That’s a fee that a lender will put in the deal just to originate the loan. It could be a percentage of what you are borrowing. Some lenders charge this. Some don’t-- so it’s something to ask.
Second-- Dale says make sure you look at the fine print of a contract for early pay off fees. Dale says you want to make sure there’s no penalty if you start to pay off that loan early.
And finally-- watch out for adjustable rates. Dale says that’s where you really want to be careful. Especially with credit cards. “There’s lots of credit cards that offer this zero percent interest rate which is fine initially for that six months to a year. Mark it on your calendar though. So, you know when that adjustable rate will adjust,” said Dale.
Because when it adjusts-- your rate will go up. So, you just want to make sure you’ve got a good grasp of what those fees are that the lender is charging you.
Also, that way you can compare to other lenders make sure you get the best refinance deal possible.
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