refi TT, is it worth it

[RollingDownTheHighway]

We have a little over 5 more years on our note for our tracer, I was thinking of doing a refi for a lower rate but still send the normal payment that we do now. I was wondering if anyone did refi on their TT or 5'er and would it be worth it.

[timfromma]

It really depends on your current interest rate, the interest rate of the new loan, how much you owe on the trailer and how much it's worth.

[97flhtcui]

You never mentioned how many years you already paid. If you financed for 10 years then you already paid a good chunk of finance charge.

[Pinn]

DH and I did a Refi on our HiLo while we still had it to get a lower rate. We were happy with the outcome.
We plan on doing a Refi on Chole' when the time is right, they are killing us on the interest rate.

[lbrjet]

Spend a few minutes with an online amortization calculator and it can tell you exactly how much you will save or not save.


2010 F250 5.4L 3.73
2011 Flagstaff 831FKBSS
Equal-i-zer 4pt 12K

[W5CI]

Refinance , I always pay Cash

[bubbles]

Originally Posted by W5CI

Refinance , I always pay Cash

That's great. However; if everyone waited to do it your way this forum would not exist.

[IndyCamp]

Originally Posted by W5CI

Refinance , I always pay Cash

And? Do you have any information that would help the OP?

[jcarlilesiu]

Originally Posted by W5CI

Refinance , I always pay Cash

Not money well spent in my eyes.

With the rate of depreciation on an RV and considering the relatively low interest rate, you are better off financing the deal and investing what you would have used to pay the balance on the RV in the market.

With the rates of return on a mutual funds, you would be money ahead investing the dollars and paying the finance interest rate, while reducing risk by not aiming the depreciated amount in the case you have to off load the camper.

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[RollingDownTheHighway]

Originally Posted by W5CI

Refinance , I always pay Cash

We paid cash for our first one and it wasn't a smart move, financed our second one and get some nice tax breaks, nothing major but they consider it as our second home even though it's an RV. I'll never pay cash for another one

[Theblairs]

Does your loan have an option to pay in full with no penalties. If so it is always worth looking around for the best rate out there. Check with your bank on the rate for your line of credit, a small loan etc.. If you can get a better deal go for it. Just be careful though as depending on the rate and term, your $20000 trailer can end up costing over $40000 on a 20 year amortization.
good luck

[GOTTOYS]

Originally Posted by W5CI

Refinance , I always pay Cash

Pay Cash big deal...Maybe that's why you still have a 2004 model trailer...

[woodpile]

I been in Finance a long time. Get outta debt quick as you can is the best advice I know.

[retiredcamper47]

As long as your tt has a bed, kitchen, and bathroom and you "live" in it enough times each year, the tt qualifies as a second home. Now you can claim the interest paid on the loan on your federal income tax. So in essence, the more interest you pay, the bigger tax break you get.

Bob

[rockfordroo]

Originally Posted by woodpile

I been in Finance a long time. Get outta debt quick as you can is the best advice I know.

X2! And don't get into it at all if possible. How quickly we forget 2008.