... on your car.
Upside down on your house? I know how it feels. Never fear - we still have 1 more area to tap. Our cars - the car ATM is here! Hat tip to Clusterstock for this find. We've seen 7 and 8 year car loans as Americans strive for things they deserve (ahem) [Sep 17, 2007: Is a 10 Year Car Mortgage Far Off?]Feb 13, 2008: Car Loans Being Stretched to 7 Years] But now the next iteration of "how to live the life without really ever saving a dime!"
Perhaps this "financial innovation" has been around a long time - I don't know, it is new to me. But really, why not... in fact, aside from major urban areas, its a lot harder to walk away from the car than the house. Even better, they will refinance the loan for MORE than the car is worth! What a hoot! Its like an option ARM loan but for your Chevy!
Here is the direct link from Wells Fargo so you don't think that (as CNBC puts it) "moronic bloggers" are making this stuff up.
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Obtaining a cash out refinance loan means applying for a new loan to pay off an existing loan and receiving cash after it is repaid. Cash out refinance loans apply to home loans and auto loans.
You may seek an auto cash out refinance loan to:
- Change your auto loan terms
- Access cash
- Restructure (consolidate) other credit accounts
Cash Out Refinance Loan Benefits
With an auto cash out refinance, you could:
Access Cash
You may be able to borrow more than it takes to pay off your existing auto loan with a cash out refinance loan.
In fact, Wells Fargo Financial is one of the few lenders that will refinance a vehicle for more than its current value. That means access to cash over and above the value of the new cash out refinance auto loan.
Use the available cash however you choose. For example:
- holiday expenses
- summer landscaping
- back-to-school expenses
- unplanned medical bills
- vehicle expenses
- home maintenance
