18A Leslie Hills Drive, Riccarton, Christchurch
027 554 5639
jody@zebramortgages.co.nz

Refinancing

Like a lot of people, if you have a loan that’s too expensive or too risky to live with, you can often refinance into a better loan. You may be surprised how many options exist these days for refinancing options. Whether you’ve got a home loan, auto loans, or other debt, refinancing allows you to shift the debt onto better terms.

What Is Refinancing?

Refinancing takes an existing loan and replaces it with a new loan that pays off the debt of the old loan. You can also consolidate a number of other loans into the mix at the same time. The new loan should have better terms and features that improve your finances, whether it is a better interest rate or a more manageable term. Sometimes you may be just plain tired of your existing bank and feel like a change. It depends on the type of loan and your lender, but the process typically looks like this:

1) You have an existing loan that you would like to improve in some way.

2) We can find a lender with better terms

3) We can apply for this loan on your behalf.

4) The new loan pays off the existing debt completely.

5) You make payments on the new loan until you pay it off or refinance it again.

Advantages

There are many advantages to using a mortgage broker when refinancing. For starters, we regularly deal with banks and can save you the time of applying to multiple banks. We are also able to negotiate on your behalf. There may also be instances where we can refinance your fixed rate mortgage or fixed rate loan.

It may be time consuming for you to fill out multiple statements of positions and actually find someone in the bank to deal with. We can assist in this regard as we are able to place your deal with multiple banks at the same time. This way we can quickly weed out the banks who are not will to consider the loan – don’t take this personally, sometimes banks have mandates that prevent them from writing new business.

Cash Back

These days the banks are providing clients cash back if you write your loan with them. We regularly deal with the banks, so know which banks are currently offering the best deals.

Consolidating debts

If you have multiple loans, it might make sense to consolidate them into one single loan, especially if you can get a lower interest rate. It’ll be easier to keep track of payments and loans. This could help with your credit score.

Change your loan type. If you have a variable-rate loan, you might prefer to switch to a loan at a fixed rate. A fixed interest rate offers protection if rates are currently low, but expected to rise.

Not just for property

It is not just bank loans we can refinance for you. We also work with a number of non bank lenders. Whether you have a car loan or credit card you want to refinance we can help. Sometimes you may be thinking of refinancing to extract some cash over and above your existing loan. i.e. if your loan is $100,000.00, we can refinance this to another lender at $120,000.00 and you can use that additional $20,000.00 for whatever purposes you like, you don’t have to keep the original loan. So it can make sense to refinance.

What are you waiting for, contact us today.