These days there are a lot of people who have bad credit scores. This is a problem since your credit score is more important than ever before. A lot of the people who have bad credit scores also want to refinance their mortgages and wonder if this is possible.
In general you will be able to refinance if you have bad credit but you may have to look around a little bit to find a lender willing to work with you. Most banks will tend to shy away from lenders who have credit problems, although they will overlook small issues. There are however many lenders who specialize in refinancing people who have credit problems. This is likely the route that you will have to go if you are looking to refinance with bad credit.
While it is possible to refinance with bad credit you do have to ask if it is a good idea or not. Bad credit may not make it impossible for you to refinance but it will mean that you have to pay a higher interest rate. That means that you probably will not be able to get a lower interest rate than you are currently paying. Since one of the main reasons to refinance is to lower your interest rates this does eliminate one reason that you would do it. That being said if you had bad credit when you first got the mortgage it may be that your credit while still bad is better than it was before. In this case it might actually make sense to refinance.
The reason that a lot of people with bad credit refinance their mortgages is that they need to turn the equity into cash. In this case it might make sense if you are using the money to pay off your credit card debt. You may have to pay more in interest to refinance but it will be much less than you are paying for your credit cards. If you are going to do this however you have to be very careful. The danger is that once you have paid off your credit cards you will run up new credit card debt. If this happens you will have to pay off both the credit card debt and the new mortgage, this could put you in a position where you are at risk of losing your home.
If you decide that you are going to refinance with bad credit you are probably going to want to use the assistance of a mortgage broker. There are brokers who specialize in helping people with bad credit to refinance and they will be able to help you find a lender who is willing to work with you and make sure that you get a good deal. If your broker can get you a good deal on a mortgage it will more than offset the fees that he charges.