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Forbes
09-07-2025
- Business
- Forbes
Today's Mortgage Refinance Rates: July 9, 2025
Editorial Note: We earn a commission from partner links on Forbes Advisor. Commissions do not affect our editors' opinions or evaluations. The rate on a 30-year fixed refinance rose to 6.81% today, according to the Mortgage Research Center. For 15-year fixed refinance mortgages, the average rate is 5.72%, and for 20-year mortgages, the average is 6.65%. Related: Compare Current Refinance Rates The current 30-year, fixed-rate mortgage refinance average rate stands at 6.81%, versus 6.64% last week. The annual percentage rate (APR) on a 30-year, fixed-rate mortgage is 6.84%, higher than last week's 6.67%. The APR is the all-in cost of a home loan—the interest rate including any fees or extra costs. At the current interest rate, borrowers with a 30-year, fixed-rate mortgage of $100,000 will pay $652 per month for principal and interest, according to the Forbes Advisor mortgage calculator . That doesn't include taxes and fees. Over the life of the loan, the borrower will pay total interest costs of about $135,533. The average interest rate on the 20-year fixed refinance mortgage is 6.65%. A week ago, the 20-year fixed-rate mortgage was at 6.42%. The APR on a 20-year fixed is 6.69%, compared to 6.45% last week. A 20-year fixed-rate mortgage refinance of $100,000 with today's interest rate would cost $755 per month in principal and interest. Taxes and fees are not included. Over the life of the loan, you would pay around $81,632 in total interest. The average interest rate on the 15-year fixed refinance mortgage is 5.72%. The same time last week, the 15-year fixed-rate mortgage was at 5.57%. On a 15-year fixed refinance, the annual percentage rate is 5.76%. Last week, it was 5.61%. At the current interest rate, you would pay $829 per month in principal and interest for every $100,000 borrowed. Over the life of the loan, you would pay $49,599 in total interest. The average interest rate for a 30-year, fixed-rate jumbo mortgage refinance (a loan above the federal conforming loan limit of $806,500 in most places) inched up week-over-week to 7.12%, versus 6.95% last week. At today's interest rate on a 30-year, fixed-rate jumbo mortgage refinance, a borrower would pay $673 per month in principal and interest on a $100,000 loan. A 15-year, fixed-rate jumbo mortgage refinance has an average interest rate of 6.42%, up 1.84% from last week. At today's rate, a borrower would pay $867 per month in principal and interest per $100,000 borrowed for a 15-year, fixed-rate jumbo refi. Over the life of the loan, that borrower would pay around $56,295 in total interest. No, mortgage refinance rates are typically higher than purchase loan rates due to additional risk for the lender. Cash-out refinance rates are also higher than a standard rate-and-term refinance as you are increasing your loan balance by tapping your equity. The application process for refinancing a mortgage is similar to getting a home purchase loan regarding the required paperwork and home appraisal. Additionally, similar closing costs from 2% to 6% of the loan amount apply, which is an extra expense. When you refinance, your new rate is based on current refinance rates and your loan term. This rate replaces your existing mortgage repayment terms. When considering a mortgage refinance, compare your current interest rate, mortgage balance and loan term with the new interest rate and term. This comparison helps you estimate your new monthly payment and savings, making it easier to determine if refinancing is the right choice. You may want to refinance your home when you can lower your interest rate, reduce monthly payments or pay off your mortgage sooner. You may want to use a cash-out finance to access your home's equity or take out a new loan to eliminate private mortgage insurance (PMI). Refinancing your mortgage can make sense if you plan to remain in your home for a number of years. There is, after all, a cost to refinancing that will take some time to recoup. You'll need to know the loan's closing costs to calculate the break-even point where your savings from a lower interest rate exceed your closing costs. You can calculate this by dividing your closing costs by the monthly savings from your new payment. Our mortgage refinance calculator could help you determine if refinancing is right for you. Refinancing a mortgage isn't that different than taking out a mortgage in the first place, and it's always smart to have a strategy for finding the lowest rate possible. Here are some suggested approaches to get the best rate: Polish up your credit score Lower your debt-to-income ratio Keep an eye on mortgage rates Consider a shorter loan Having a strong credit score is one of the best things you can do to get approved and get a lower rate. You're also likely to look better to mortgage refinance lenders if you don't have too much debt relative to your income. You should keep a regular watch on mortgage rates , which fluctuate often. Also see if you can manage a mortgage payment for a shorter loan term since they usually have lower interest rates. National average mortgage interest rates will have the most significant impact on refinancing trends throughout 2025, whether they rise or fall. While predicting mortgage interest rates is challenging , experts expect them to remain in the middle-to-high 6% range during the first half of 2025, similar to the final quarter of 2024. However, rates could potentially decrease by the end of the year. If inflation slows and national unemployment levels remain steady or increase, the Federal Reserve might cut the federal funds rate, leading to lower mortgage rates. On the other hand, if the opposite happens, average rates will likely see little movement. Since experts anticipate minimal movement in average mortgage rates during the first half of the year, those looking to refinance at a lower rate may want to wait until later in the year to secure the best rate. In the meantime, improving your credit score, making on-time payments and paying down your loan amount will put you in the best position to secure a low rate when you begin shopping for a refinance offer. Frequently Asked Questions (FAQs) Closing costs for a refinance can be anywhere from 2% to 6% of the cost of the loan. It's always a good idea to ask the lender what kind of closing costs they'll charge before you decide to borrow from them. Many lenders refinance your mortgage in about 45 to 60 days, but it depends on the type of mortgage you choose and other factors. Ask your lender what their time frame is before you borrow to make sure it's right for you. In many cases, you can refinance a mortgage as soon as six months after you start paying it down, although some lenders insist that you wait 12 months. You should ask your lender to be sure.
The Sun
07-07-2025
- Business
- The Sun
Warning for 31million bank customers losing more than £350 a year for leaving cash in zombie accounts
MILLIONS of Brits are losing out on hundreds of pounds each by keeping their savings in low-interest "zombie" accounts. More than 31million bank customers have £186billion in savings accounts earning just 1.5% interest, according to Paragon Bank's app Spring. 1 These accounts generate £2.3billion a year in interest, but savers could earn over three times more by switching to accounts offering up to 5% interest, The Sun can reveal. The average bank customer has around £10,000 in savings, according to Raisin. If that £10,000 is kept in an easy access account earning 1.5% interest, it would generate just £150 in interest each year. But switching to Chase's 5% easy access account would boost that to £500, earning you an extra £350. Experts specifically warn that using savings linked to current accounts often means low rates, restrictions, and losing value to inflation. Derek Sprawling, managing director of Spring, said: "Too many savers are leaving their money with their current account provider's linked savings accounts. "Simply sticking with a savings account offered by their current account provider often means an array of restrictions, such as tiered rates or withdrawal limits, on top of poor rates. "There are other options for savers, it is possible to get a rewarding rate of return without sacrificing access to their money or wading through a host of restrictive terms and conditions." If your savings account pays less than the current inflation rate of 3.4%, it's time to look for a better deal. Plus, the Bank of England is expected to cut its base rate soon, which could make savings rates even lower. The base rate affects how much banks pay savers - when it drops, interest on savings usually goes down too. Financial markets expect the Bank to reduce rates at its next meeting in August, and again to 3.75% before the end of the year. How this affects your savings depends on the type of account you have. Fixed-rate accounts won't change, but easy-access accounts can see their rates drop at any time. What types of savings accounts are available? THERE are four types of savings accounts: fixed, notice, easy access, and regular savers. Separately, there are ISAs or individual savings accounts which allow individuals to save up to £20,000 a year tax-free. But we've rounded up the main types of conventional savings accounts below. FIXED-RATE A fixed-rate savings account or fixed-rate bond offers some of the highest interest rates but comes at the cost of being unable to withdraw your cash within the agreed term. This means that your money is locked in, so even if interest rates increase you are unable to move your money and switch to a better account. Some providers give the option to withdraw, but it comes with a hefty fee. NOTICE Notice accounts offer slightly lower rates in exchange for more flexibility when accessing your cash. These accounts don't lock your cash away for as long as a typical fixed bond account. You'll need to give advance notice to your bank - up to 180 days in some cases - before you can make a withdrawal or you'll lose the interest. EASY-ACCESS An easy-access account does what it says on the tin and usually allows unlimited cash withdrawals. These accounts tend to offer lower returns, but they are a good option if you want the freedom to move your money without being charged a penalty fee. REGULAR SAVER These accounts pay some of the best returns as long as you pay in a set amount each month. You'll usually need to hold a current account with providers to access the best rates. However, if you have a lot of money to save, these accounts often come with monthly deposit limits. To help you get the best returns, we've listed the top savings rates for each account type below. What's on offer? If you're looking for a savings account without withdrawal limitations, then you'll want to opt for an easy-access saver. These do what they say on the tin and usually allow for unlimited cash withdrawals. The best easy access savings account available is from Atom Bank, which pays 5% - and you only need to pay a minimum of £1 to set it up. This means that if you were to save £1,000 in this account, you would earn £50 a year in interest. However, this rate is only for new customers and includes a 2.25% bonus for the first 12 months. Meanwhile, Snoop's easy access saver offers customers 4.6% back on savings worth £1 or more. If you're okay with being less flexible about withdrawals, a top notice account could be a great option. These accounts offer better rates than easy-access accounts but still let you access your money more flexibly than a a fixed-bond. Plum's 95-day notice account offers savers 4.84% back with a minimum £1 deposit, for example. This means that if you were to save £1,000 in this account, you would earn £48.40 a year in interest. Oxbury Bank's 120-day notice account offers 4.6%, requiring a minimum deposit of £1,000. If you want to lock your money away and keep the same savings rate for a set time, a fixed bond is a good choice. The best fixed rate currently offered is GB Bank's one-year fixed bond, which pays 4.58%, requiring a minimum deposit of £1,000. Meanwhile, Marcus by Goldman Sachs's one-year fixed bond offers 4.55% back on a deposit of £1 or more. This means that if you were to save £1,000 in this account, you would earn £45.50 a year in interest. If you want to build a habit of saving a set amount of money each month, a regular savings account could pay you dividends. Principality Building Society's Six Month Regular Saver offers 7.5% interest on savings. It allows customers to save between £1 and £200 a month. Save in the maximum, and you'll earn 25.81 in interest. While regular savings accounts look attractive due to the high interest rates on offer, they are not right for all savers. You can't use a regular savings account to earn interest on a lump sum. The amount you can save into the account each month will be limited, typically to somewhere between £200 and £500. Therefore, if you have more to save, it would be wise to consider one of the other accounts mentioned above. How can I find the best savings rates? WITH your current savings rates in mind, don't waste time looking at individual banking sites to compare rates - it'll take you an eternity. Research price comparison websites such as Compare the Market, and MoneySupermarket. These will help you save you time and show you the best rates available. They also let you tailor your searches to an account type that suits you. As a benchmark, you'll want to consider any account that currently pays more interest than the current level of inflation - 3.4%. It's always wise to have some money stashed inside an easy-access savings account to ensure you have quick access to cash to deal with any emergencies like a boiler repair, for example. If you're saving for a long-term goal, then consider locking some of your savings inside a fixed bond, as these usually come with the highest savings rates.
CBS News
07-07-2025
- Business
- CBS News
4 clear signs that bankruptcy is your best option now
We may receive commissions from some links to products on this page. Promotions are subject to availability and retailer terms. If you're unsure of how to tackle your debt, there are signs that filing for bankruptcy is the best move to make. Getty Images Financial stress has a way of sneaking up on you. One day you're managing your bills just fine, and the next you're lying awake and wondering how you'll make next month's debt payments. The current economic climate hasn't made things any easier, either. While inflation has cooled recently, years of elevated inflation have pushed up the cost of everything from groceries to gas, while the high-rate environment is making it more expensive to borrow money. Add in issues like unexpected medical bills, a job loss or a major life change, and suddenly you're staring at debt that feels impossible to maintain. That's when the idea of bankruptcy may come into play. While the word bankruptcy may carry a heavy stigma, the reality is that this type of debt relief is a legal tool designed to give people a fresh start when their debt becomes mathematically impossible to overcome. Every year, hundreds of thousands of people file for bankruptcy protection, and many of them are simply people who found themselves in financial situations beyond their control. How do you know when your debt issues have crossed the line from "things are tight" to "I need serious help," though? After all, it's important to recognize that milestone, as waiting any longer could just be avoiding the inevitable. Luckily, there are a few warning signs that indicate that bankruptcy is now the best option for getting back on solid financial ground. Below, we'll detail four of those worth understanding. Get more help with your overwhelming credit card debt today. 4 clear signs that bankruptcy is your best option now If you're unsure as to whether bankruptcy or another debt relief option may be your best bet, keep an eye out for these warning signs: You're using one debt to pay another When you start using credit cards to pay other bills, taking cash advances to make loan payments or transferring balances between cards just to stay afloat, you've entered dangerous territory. This financial juggling act, colloquially known as robbing Peter to pay Paul, is a clear sign that your debt has become unmanageable and you're borrowing your way into deeper trouble. The math becomes especially brutal when you're paying cash advance fees (which are typically 3% to 5% of the amount), balance transfer fees and higher interest rates on these transactions. You might feel like you're solving problems by moving money around, but you're actually creating a complex web of debt that becomes harder to escape with each transaction. So, if you're regularly shuffling money between accounts to meet basic obligations, taking advantage of what bankruptcy can offer could make sense. Filing for bankruptcy can break this cycle and give you a clean slate to work with real money instead of borrowed funds. Find out how the right debt relief strategy could benefit you now. You're spending more than half your income on essential bills When your mortgage or rent, utilities, groceries, transportation and minimum debt payments consume more than 50% of your income, you're in what financial experts call "survival mode." At this level, there's virtually no room for unexpected expenses, emergency savings or quality of life improvements. You're essentially one car breakdown or minor emergency away from falling behind on everything. This situation is particularly dangerous because it's unsustainable long term. You can't build wealth, invest in your future or even maintain your current lifestyle when essential expenses, like healthcare costs, housing and other necessities, are consuming most of your paycheck. In these cases, bankruptcy can help reset your financial obligations to a manageable level, offering you breathing room to rebuild a sustainable budget. You're weighing the idea of draining your retirement accounts One of the options that people tend to weigh during a financial crisis is raiding their retirement savings to pay off their debt. But retirement accounts like 401(k)s and IRAs are typically protected in bankruptcy, meaning you can eliminate debt while preserving these crucial assets for your future. So, if you're contemplating early retirement withdrawals that will trigger taxes and penalties, filing for Chapter 7 or Chapter 13 bankruptcy might be a far better option. After all, the money you'd lose to taxes and penalties by taking an early retirement withdrawal, combined with the lost growth potential of those funds, often exceeds the cost of filing for bankruptcy. You're facing foreclosure or repossession If you're behind on mortgage payments or car loans and are facing foreclosure or repossession, bankruptcy can provide powerful protection. For example, Chapter 13 bankruptcy allows you to catch up on missed payments over three to five years while keeping your home or vehicle. The automatic stay that takes immediate effect when you file stops foreclosure proceedings and gives you time to reorganize your finances. But even if you ultimately can't save your home, bankruptcy can help you manage the process more favorably. You might be able to negotiate a deed in lieu of foreclosure or ensure that any remaining balance after a foreclosure sale is discharged, preventing the lender from pursuing you for a deficiency judgment. The bottom line Bankruptcy isn't an admission of failure; it's a recognition that sometimes life delivers financial blows that exceed your ability to handle them through conventional means. The bankruptcy system exists for those who need a fresh start to rebuild their lives and contribute to the economy again. So, if you're experiencing multiple warning signs from this list, it's important to consult with a bankruptcy or debt relief expert about the options available to you. Many offer free consultations to help you determine whether bankruptcy or another debt relief strategy makes sense for your specific situation. Just remember that the goal of whatever strategy you choose isn't just to eliminate debt. It's to create a sustainable financial future.
Yahoo
06-07-2025
- Business
- Yahoo
Mortgage and refinance interest rates today, July 6, 2025: Refinance rates decrease
Mortgage rates on home purchases have ticked up today, but refinance rates have moved in the opposite direction. According to Zillow, the average 30-year fixed refinance rate is down five basis points to 6.59%, and the 15-year fixed refinance rate has fallen by seven basis points to 5.81%. If today's refinance rates are 1% or 2% lower than what you're paying now, it might make sense to refinance your mortgage. For those looking to buy a house, take comfort in knowing that rates haven't shifted much since last week. Dig deeper: 2025 housing market — Is it a good time to buy a house? Here are the current mortgage rates, according to the latest Zillow data: 30-year fixed: 6.59% 20-year fixed: 6.24% 15-year fixed: 5.81% 5/1 ARM: 7.36% 7/1 ARM: 7.38% 30-year VA: 6.14% 15-year VA: 5.60% 5/1 VA: 6.29% Remember, these are the national averages and rounded to the nearest hundredth. These are today's mortgage refinance rates, according to the latest Zillow data: 30-year fixed: 6.59% 20-year fixed: 6.24% 15-year fixed: 5.81% 5/1 ARM: 7.36% 7/1 ARM: 7.38% 30-year VA: 6.14% 15-year VA: 5.60% 5/1 VA: 6.29% Again, the numbers provided are national averages rounded to the nearest hundredth. Mortgage refinance rates are often higher than rates when you buy a house, although that's not always the case. Read more: Is now a good time to refinance your mortgage? Use the mortgage calculator below to see how various mortgage terms and interest rates will impact your monthly payments. Our free mortgage calculator also considers factors like property taxes and homeowners insurance when determining your estimated monthly mortgage payment. This gives you a more realistic idea of your total monthly payment than if you just looked at mortgage principal and interest. The average 30-year mortgage rate today is 6.59%. A 30-year term is the most popular type of mortgage because by spreading out your payments over 360 months, your monthly payment is lower than with a shorter-term loan. The average 15-year mortgage rate is 5.81% today. When deciding between a 15-year and a 30-year mortgage, consider your short-term versus long-term goals. A 15-year mortgage comes with a lower interest rate than a 30-year term. This is great in the long run because you'll pay off your loan 15 years sooner, and that's 15 fewer years for interest to accumulate. But the trade-off is that your monthly payment will be higher as you pay off the same amount in half the time. Let's say you get a $300,000 mortgage. With a 30-year term and a 6.59% rate, your monthly payment toward the principal and interest would be about $1,914, and you'd pay $389,038 in interest over the life of your loan — on top of that original $300,000. If you get that same $300,000 mortgage with a 15-year term and a 5.81% rate, your monthly payment would jump to $2,501. But you'd only pay $150,158 in interest over the years. With a fixed-rate mortgage, your rate is locked in for the entire life of your loan. You will get a new rate if you refinance your mortgage, though. An adjustable-rate mortgage keeps your rate the same for a predetermined period of time. Then, the rate will go up or down depending on several factors, such as the economy and the maximum amount your rate can change according to your contract. For example, with a 7/1 ARM, your rate would be locked in for the first seven years, then change every year for the remaining 23 years of your term. Adjustable rates typically start lower than fixed rates, but once the initial rate-lock period ends, it's possible your rate will go up. Lately, though, some fixed rates have been starting lower than adjustable rates. Talk to your lender about its rates before choosing one or the other. Dig deeper: Fixed-rate vs. adjustable-rate mortgages Mortgage lenders typically give the lowest mortgage rates to people with higher down payments, great or excellent credit scores, and low debt-to-income ratios. So, if you want a lower rate, try saving more, improving your credit score, or paying down some debt before you start shopping for homes. Waiting for rates to drop probably isn't the best method to get the lowest mortgage rate right now. If you're ready to buy, focusing on your personal finances is probably the best way to lower your rate. To find the best mortgage lender for your situation, apply for mortgage preapproval with three or four companies. Just be sure to apply to all of them within a short time frame — doing so will give you the most accurate comparisons and have less of an impact on your credit score. When choosing a lender, don't just compare interest rates. Look at the mortgage annual percentage rate (APR) — this factors in the interest rate, any discount points, and fees. The APR, which is also expressed as a percentage, reflects the true annual cost of borrowing money. This is probably the most important number to look at when comparing mortgage lenders. Learn more: Best mortgage lenders for first-time home buyers According to Zillow, the national average 30-year mortgage rate for purchasing a home is 6.59%, and the average 15-year mortgage rate is 5.81%. But these are national averages, so the average in your area could be different. Averages are typically higher in expensive parts of the U.S. and lower in less expensive areas. The average 30-year fixed mortgage rate is 6.59% right now, according to Zillow. However, you might get an even better rate with an excellent credit score, sizable down payment, and low debt-to-income ratio (DTI). Mortgage rates aren't expected to drop drastically in the near future, though they may inch down now and then.
Associated Press
05-07-2025
- Business
- Associated Press
7 Benefits of Prequalifying for a Loan in Dallas Before You Apply
NEW YORK CITY, NY / ACCESS Newswire / July 5, 2025 / When you're thinking about borrowing money - whether for a car, a house or even emergency bills - there's one step that could save you time and stress: prequalifying. If you're looking into loans in Dallas, it may help to know where you stand before you apply. Prequalifying isn't a promise you'll be approved, but it could give you a strong idea of your chances. Here are seven reasons why checking to see if you're prequalified for a loan before you submit an application might work in your favor. 1. You may get a better idea of how much you can borrow Prequalifying shows you the loan amount or range of possible loans that a lender might offer you, which could help you set a clear budget. For example, if you're looking for a new car, you'll get an idea of what price range you can afford before you fall in love with a vehicle that's financially out of reach. 2. You could help protect your credit score Submitting an application for a loan often leads to a 'hard' credit check, also known as a hard pull, which could cause a small dip in your credit score. A hard pull generally happens when a lender performs a full credit inquiry on your credit history to decide whether to lend you funds. On the other hand, checking to see if you're prequalified for a loan typically involves a 'soft' credit check, which doesn't affect your score. A soft inquiry or soft pull generally happens when you check your own credit report, for example. A soft inquiry means you can explore your loan options without harming your credit. 3. You could compare loan offers more easily Once you prequalify, you may get several loan offers from different lenders. Getting multiple offers may make it easier to compare interest rates (the cost of borrowing), fees and other terms of the loans. With more information, you could make a better decision for yourself and choose the loan that best fits your needs. 4. You could spot potential problems early on When you prequalify, you might find out that you need to look at your credit report to see if there's anything that could hurt your chances of securing a loan. Learning more about your financial history could give you time to fix these issues - like paying down credit card balances - before you officially apply for a loan. 5. You may have more time to ask questions Prequalifying gives you a chance to talk to lenders without rushing through the process. You can ask questions about payment schedules, fees or different loan types before you're locked into anything. Having extra time to learn about and better understand your options could make all the difference in finding the loan that works best for you. 6. You may save time during the application process Prequalifying means you've already shared some basic financial information with lenders, which might speed up the official application process. You'll probably spend less time digging up documents and answering questions you've already gone over. Prequalifying could help you ensure you have all the necessary documents and paperwork ready to go, such as proof of identity, proof of income and bank statements. 7. You might feel more confident When you know you could prequalify for a loan, you may walk into the loan application process with more confidence. You'll already have an idea of which lenders may be willing to work with you, which could take away some of the worry. Keep calm and prequalify on Checking to see if you prequalify for a loan before you actually apply is often a smart move. It helps you stay informed, protects your credit score and helps you make more confident choices about your financial condition. By taking this simple step, you might avoid surprises during the application process and find the loan that best fits your needs. SPONSORED CONTENT CONTACT: Sonakshi Murze Manager [email protected] SOURCE: OneMain Financial press release
