Refinancing Loan Amount?
Thursday, July 30th, 2009
kincaid1 asked:
We refinanced our home recently. I was asked how much our existing loan amount was, lets say I told the loan officer it was $110,600. He said we’ll round it up to $111,500 because there is usually more that is owed than what you see on your statement. When we closed, it said our payoff amount to the old loan was $110, 976 and my new loan amount was going to be $111,500. Why don’t they just refinance the payoff loan amount? Does that mean that the bank just made an extra $500 off of us to refinance? Why is it done this way? Thanks for any help.
James, yes I reviewed the GFE and paid the closing costs out of pocket.
Ruben
We refinanced our home recently. I was asked how much our existing loan amount was, lets say I told the loan officer it was $110,600. He said we’ll round it up to $111,500 because there is usually more that is owed than what you see on your statement. When we closed, it said our payoff amount to the old loan was $110, 976 and my new loan amount was going to be $111,500. Why don’t they just refinance the payoff loan amount? Does that mean that the bank just made an extra $500 off of us to refinance? Why is it done this way? Thanks for any help.
James, yes I reviewed the GFE and paid the closing costs out of pocket.
Ruben
