With the consumer lending boom, refinancing is becoming more and more popular. Thanks to him, you can reduce the amount of the loan payment, the interest rate, and also combine several loans into one.
It is necessary
- - a loan agreement with a bank;
- - an extract from the bank on the balance of the debt;
- - payment schedule;
- - identity documents;
- - documents confirming income.
Instructions
Step 1
Before deciding to apply for refinancing in another bank, it is necessary to assess the feasibility of this step. Even at lower interest rates. So, in a refinancing bank, a commission may be provided for considering an application, issuing a loan, withdrawing and reissuing a pledge. All this can negate all the benefits of refinancing.
Step 2
Initially, you need to contact the bank in which you have credit obligations and receive an account statement on the balance of the debt and a payment schedule. When granting refinancing, many banks approve it only if the borrower has faithfully fulfilled its loan obligations for at least 6 months. It is also worth getting a certificate that confirms the presence or absence of loan delinquencies, as well as other overdue obligations to the bank. If the property that is the object of the loan is pledged, then a copy of the mortgage will be required.
Step 3
A client who wants to refinance a loan must submit to the bank an application and a standard list of documents (passport, income statement), as in the case of a regular loan, as well as documents for valid loans. They must be accompanied by an application for refinancing.
Step 4
For a bank that carries out refinancing, issuing such a loan is tantamount to issuing a new loan. Therefore, the borrower needs to re-confirm his income and provide documents that confirm his creditworthiness. Banks are equally attentive in assessing a potential borrower, because often, a refinancing service is issued when the financial situation deteriorates. If the cause of the difficulty is related to objective contingencies, then the bank will most likely approve refinancing.
