1. You originally borrowed $180,000 for 30 years at 9.6% comounded monthly. You have made payments for 7 years. The annual interest rates drop to 6.6. If you refinance for 30 years, what will your new monthly payments be, and how much money will you save? Note: Closing costs are $3,000
2. If you decide to take out the new loan and make the same payment as you did for the old loan, will you save money over the life of the loan? If so, How much?
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