About

Refinancing is the replacement of an existing debt obligation with another debt obligation under different terms To take advantage of a better interest rate (a reduced monthly payment or a reduced term) To consolidate other debt(s) into one loan (a potentially longer/shorter term contingent on interest rate differential and fees) To reduce the monthly repayment amount (often for a longer term, contingent on interest rate differential and fees) To reduce or alter risk (for example, switching from a variable-rate to a fixed-rate loan) To free up cash (often for a longer term, contingent on interest rate differential and fees)