Use the Equity in Your Home to Fund Your Needs
  • Consolidate debt
  • Lower your interest rate and save
  • Eliminate private mortgage insurance (PMI)
What is Refinancing?

Refinancing your mortgage means taking out a new mortgage to pay off and replace your existing mortgage. This is typically done to achieve a better interest rate, reduce your term, or even get cash to consolidate debt.

Types of Refinancing Loans

  • Rate-and-Term Refinance – lets homeowners change their existing loan’s interest rate, term or both.

  • VA Interest Rate Reduction Loan (IRRRL) - is a streamline refinance (This is the VA’s version of a rate-and-term refinance) it lets homeowners change their existing loan’s mortgage rate, loan term, or both.

  • Cash-Out Refinance - to take advantage of the equity in your home

  • Home Equity Line of Credit (HELOC) – a revolving line of credit secured by your home to use for large expenses or to consolidate higher-interest rate debt from other loans.

Mortgage Knowledge Center

When is the Best Time to Refinance?
10 Reasons Why You Should Refinance

VA Streamline Refinance

No Closing Costs!1

PenFed has just announced the most cost effective way to refinance a VA Loan.

We cover the closing costs1 for the following fees as applicable:

  • VA Funding Fees
  • Title Fees
  • Recording Fees
  • Transfer Taxes
  • Appraisal Fee
  • Credit Report
  • Flood Certification

Benefits of Refinancing with PenFed

When it's time to refinance your home, working with your PenFed Loan Officer makes the entire process simple and easy. You can:

Get money for home improvements to increase its value

Shorten the length of your loan or lower the interest rate

Combine two mortgages into one

How Do I Refinance My Home?

You may need the following to refinance your mortgage:

  • Proof of income - typically 1 - 2 months of paystubs
  • At least 1 year of W2s
  • Acceptable debt-to-income-ratio (DTI)

Possible additional financial verification:

  • Self-employment income (2 years of tax returns)
  • Current debts information (auto, alimony, credit card, etc.)

Mortgage Knowledge Center

What Are the Benefits of Refinancing?
What is an IRRRL?

Free eBooks Download


  • Ready, Set, Refi
  • Selling your Home
  • Buying a Home
Disclosures Print Icon Print

To receive any advertised product you must become a member of PenFed. Federally insured by the NCUA.

We do business in accordance with the Federal Fair Housing Law and the Equal Credit Opportunity Act.

1Closing Costs covered are Credit Report Fee, Flood Certification, Tax Service Fees, VA Funding Fees, Title Fees, Recording Fees, and Transfer Taxes. Other fees may apply such as discount points, pre-paid interest, property taxes, and property insurance, which will be the member's responsibility.

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