Another way to make a refinance work for you is to refinance for more than the balance remaining on your old mortgage -- in effect, tapping your home equity, or "cashing out," in mortgage speak. Thanks to favorable rates, you may be able to do so without boosting your monthly outlay. A beneficial way to use the extra cash is to pay off any higher rate loans you may have. Of course, all the extra cash needn't go for paying off debts, it can help pay for college tuition or allow you to go on your dream vacation. Put your home's equity to work for you!