How do we calculate the interest borrowers have saved
Interest savings are estimates only and are calculated by taking the existing loan balance and calculating the savings at the new rate over the remaining term of the loan minus any costs to refinance. For mortgage loans, the existing rate is estimated by using the origination date of the existing loan and historical mortgage rates published by hsh.com. For auto loans, the original rate is calculated using the original loan amount and loan payment to estimate the rate. Your actual results may vary depending on type of loan selected and term options selected.