Subprime Mortgages

Refinance a Subprime Mortgage

By late 2006, it was estimated that 8% of home mortgages were subprime mortgages. Subprime mortgage loans were offered to borrowers who have credit scores below 620, debt-to-income ratios above 50%, or credit histories with bankruptcies, foreclosures, or multiple 30 and 60-day delinquencies.

Bills.com can help you Refinance a Subprime Mortgage

Subprime loans can be identified as loans made to people with past blemishes on their credit histories, may not be able to fully document their incomes, or who may have less equity or smaller down payment.

Bills.com is here to help you if you have a subprime mortgage. We have the tools, resources, and information you need to refinance or make payment arrangements with your lender. The Bills.com Savings Center can help you find a new mortgage or advice you on how to save money in other areas. Get the information you need to fix your subprime mortgage at Bills.com.

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Subprime Financing Success Stories

Read a personal story about subprime financing and discover how one family recovered.
Subprime financing success story

Subprime Financing FAQs
  • What will help me determine if I have a subprime mortgage?
    A subprime mortgage often has an interest rate that is considerably higher than current rates. Find out what the best rates available today are by going to the Bills.com average mortgage rate chart. If your rate is more than 3% higher, it is a good indicator of a subprime mortgage. Another way to determine whether or not you have a subprime mortgage is to check the reset rate on your loan. You probably have one if that rate resets to 5% or more above prime after your teaser rate expires.
  • Is it possible to refinance a subprime mortgage?
    For those who have built equity in their homes, refinancing a subprime mortgage is a way to get a better mortgage. Foreclosing on a home is very costly for the lender, so the lender will often work with a borrower to try to prevent foreclosure. If refinancing is not an option, you may also be able to negotiate new payment terms or sell the house for the amount of your mortgage.
  • How can I stay away from a subprime mortgage?
    The chances of being offered a subprime mortgage are slim to none. The rules for borrowing have tightened considerably and many companies that worked solely in the subprime market have had to close their doors. Your best chances for getting a traditional mortgage rely on knowing what you can afford, having a good credit score, and saving up a large down payment.