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Home Personal Finance

Should I replace a current loan with a new one? : personalfinance

Fox Finances by Fox Finances
September 23, 2021
in Personal Finance
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I took out a 40k loan to consolidate debt two years ago. Since then, my credit score has increased approximately 100 points or more to where I am in the 750 range. I owe 25k on that loan. It is 11.58% interest rate and 14.33% apr. I am seeing offers where I can get a 25k loan to replace that loan with approxiamtely 6.9% apr or lower. What negative impact besides a hard credit inquiry would I have to seek out a replacement loan with lower rates and apr? Is it worth it to look into that? I plan to look to buy a house next year as well so keeping that in mind.



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