So, your air conditioner has broken down, and you’ve decided to take out a loan in order to either get it fixed or get a new one altogether. However, you’re probably wondering where and how to get this loan. Well lucky for you, there are a few different ways of taking out a loan for a new AC.
#1. The original company
The first option you may want to consider is the company you had install your AC in the first place. It is, after all, in their best interest to keep you as a customer, so it’s in their best interest to repair or replace your broken central AC as fast as possible. So if you can’t afford their price for repairs or replacement, ask to see if they have a loan program to help you get the money.
#2. Borrowing against equity
Financing for air conditioning units can be tricky business, so if the original company can’t help you, another, cheaper option is to borrow against the equity of your home. The rates from these loans are often lower because you’re using your house to secure the debt, reducing your lender’s risk when they give you the loan. The interest rate on home loans is tax-deductible, while a home equity loan has a fixed interest rate.
However, there’s a catch. Lenders have, in recent years, become incredibly tight-fisted on their lending standards, leading to home loans taking longer and longer to close, with the minimum being around 60 days. Another problem is that you can’t just take out a few thousand dollars for a home equity loan. The minimum for most banks is around $10,000.
Conclusion
Home improvement loans are a surprisingly easy thing to come across. From your local government, to the company you bought the AC from, to your bank. So if you’re considering taking out a loan for that new central AC, remember your options.
Visit domain to get more information about Financing for air conditioning units
