Financial Project Research Paper Example | Topics and Well Written Essays - 250 words

Financial Project - Research Paper ExampleIdentify the highest cheer rate you could refinance at in order to pay the legitimate balance in 20 years. Determine the interest rate that would require a monthly total payment that is less(prenominal) than your current total payment. In addition, refinancing costs you $2000 up-front in closing costs.Therefore, the highest interest rate that would result in less than the current add repayments would be 4.50%, where the monthly total testament amount paid towards the loan, and the principal give be $695.08, which is less than the current $706.12. However, the closing costs of $2,000 upfront may weigh on the capacity to get into a refinancing agreement deal.In order to answer this, you need to look at distinct interest rates. Know that if you refinance, your minimum monthly payments will be based on a 30-year loan (though you still want to be done in 20 years). Also, refinancing costs you a couple of kilobyte dollars up front in closin g costs.Refinancing this loan has two obvious downsides the repayment period will increase, and extra expenses will be incurred in terms of closing costs. However, the refinancing will lower the monthly repayment amounts by at least $68.79. For a person in a poor credit military capability due to the demands of the current loan repayments, the refinancing would be a welcome relief to boost this credit