Unhappy with your current bank?
You are not stuck, you can refinance, changing banks is not as hard as you might think.
What is refinancing?
In the simplest form – it’s moving from one bank to another.
Why refinance?
It’s simple really, are you unhappy with your current bank? There are many reasons for unhappiness with your current bank, perhaps they won’t loan you money for your new renovation. Perhaps you are not happy with the interest rates they have offered you, despite you being a long term customer. Your current bank does not offer you the flexibility with you money that you want or need.
What’s required?
A refinance, like any application for credit requires a full application to the new bank or lender. , In short, you are going to need to gather a bunch of documents and apply to move your lending to another bank. This is the part where you find that your Mortgage Advisor is worth their weight in gold, they will tell you what documents you need, where you get them from, and once they are all gathered then your advisor will send them off to your, ‘hopefully,’ new bank along with your application and then you just have to wait and see if your application has been accepted.
Will it cost me any money?
Well, let’s again assume that you have debts with your current bank, there could be costs associated with breaking your current fixed loan – this is also where your Mortgage Advisor can often negotiate these break costs with your bank or even with your new bank might perhaps be inclined to absorb those break costs into your loan amount. You will also have legal fees to consider as your lawyer will need to organise the discharge of your existing mortgage and register the new one.
Do I have to move ALL my banking?
No, you don’t, you can have your home loan with one bank and you’re everyday banking with another. So you can just move your home loan, or you could just move your everyday banking. This is entirely up to you and how you best manage your money.
How we can help?
As Financial Advisors, we can give you advice on which bank might work best for you and your money. We can also help with the gathering of all the documents for the new application for your new bank. Also when applying for a refinance you can rely on your Mortgage Advisor to take on the leading role when negotiating with the bank and making sure that you get the best deal
While we’re home loan experts, our blog posts are for general information purposes only and are not intended as financial advice. If at any stage you need personalised advice, get in touch on 06 8788 4444 or Ben or Mark.
