Should I get cash back when I refinance my house?

Hey all, I just bought my first house like 5 months ago. It's already gone up in value about 50K.

I'm going to be refinancing at a lower interest rate, now, here's my question, I have like 30K in bills, 10k in credit cards, and 20K I still owe on my car..

Should I get a new loan only for the amount I owe on my place, at a lower interest rate?

Or, Should I get a loan for 30K more than I owe on the place, use the money to pay off my car, and my credit cards, and then be able to write off all the interest as a tax deduction?

What do you guys think?

thanks, KC

You should definitely take out enough money to pay off your credit card bills, but the car is optional IMO.

I used to work in the mortgage industry (actually getting back into it soon). the best thing you can do is to pay off your credit cards, keep a little for your nest-egg and apply the rest to your mortgage payments. The interest on a car note isn't jack compaired to a mortgage. the sooner you start making payments on the principle the better off you will be in the long run.

I would only do this if you actually plan on living in the house long enough to pay it off. If not, then pay off the credit cards and the car note...