Refinancing your loan can have a number of benefits, which is why so many Australians choose to refinance.
The specific benefits of refinancing vary from person to person depending on your financial situation and goals, but below are some of the most common refinancing benefits:
Consolidate Your Debt
You can refinance to pay off your other debts and end up with just one loan (usually at better interest rates) rather than having several outstanding loans with differing rates of repayment.
If you have credit cards, personal loans, car loans and more, you can simplify these into just one payment and save money on repayments by consolidating your debt.
Borrow Extra Money
A popular reason for home refinancing is to also turn the value of your property into a lump sum of cash. This is called an ‘equity release’ and it means you can get money out of your house without selling it or moving out.
You can then use that money to settle your debt, pay school fees, renovate your house, buy a car or for any other worthwhile purpose.
Improve Your Credit Rating
Many people refinance in order to pay out defaults or judgements, which then starts to improve their credit rating.
Get lenders and debt collectors off your case
You may be receiving regular correspondence and phone calls from debt collectors or lenders. In some cases, they will even contact you at your place of work or get in touch with your family or employer. Not only is this frustrating, but it can also be very stressful. Refinancing will solve this problem and get those lenders and debt collectors off your case. It’ll help you reclaim your time and your freedom.
With so many potential benefits, refinancing is a smart option in many cases. However, some banks will flat-out refuse to let you refinance, causing stress and preventing you from living the life you know you can afford.
If you have been turned down by a bank, don’t worry. It is possible to refinance even if you have bad credit, the only catch is that it’s a complicated process that people struggle to do on their own.
We have helped thousands of people refinance quickly and successfully – even after they have been turned down by banks.
Refinancing application declined?
Recent regulation changes by the Royal Commission have made it more difficult to get loan applications approved in Australia. Many people are rejected even though they don’t have bad credit, often for reasons like having too many inquiries on their credit file.
Don’t live your life bound by the bank’s restrictions. Contact us today and let us show you what’s possible.