Should you refinance?

A look at what the experts say when it comes to your home, car or credit cards.

Should you refinance?
A lot of people are buying homes right now because of historic low interest rates. Some are also using the low rates to refinance their homes. (Source: WBRC)

RICHMOND, Va. (WWBT) - It’s the buzz word right now-- refinance!

You can do that for your car loan, credit card debt-- and even your house. But should you?

Cherry Dale a financial coach with the Virginia Credit Union says the first step is to pick one debt to focus on, because if you pick multiple debts to refinance- that’s going to be multiple hits on your credit. “Really think through and pick out which debt you think makes the most sense to refinance. Perhaps that’s the one with the highest interest rate,” said Dale.

Dale adds that the first thing you want to do is get your credit score and pull your credit report. It’s going to show you your interest rate and what you owe.

Dale says call the company that owns your debt and see if you can refinance through them or if they’ll lower your interest rate on a credit card. If they do not that’s when it’s time to apply with another company.

And remember-- Dale sasy if you’re going through this process you have around 30 days for one specific debt. Meaning you can shop around for 30 days with different companies on that same debt and it won’t ding your credit.

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