05/13/2026
Just saw a commercial for a cash-out VA mortgage and have some thoughts. If you’re cashing out to payoff a car or credit cards, you are changing those to a 30 year payoff. The car will most likely be long gone and you’ll still be paying on it plus interest. If you cash-out $20,000 at 6%, you will pay over $23,000 in interest plus your original $20,000 principal and upfront fees. The math doesn’t lie and it doesn’t make sense to me. I have made that mistake before so please learn from my bad decisions and don’t repeat them.