When a business or agency refinances, it normally makes longer the maturity date. When a person alters their monthly payments or amends the rate of interest on their loans, it usually absorbs a penalty fee. When you refinance your credit, you are requesting for a new loan. By refinancing, you are essentially paying off the previous loan by acquiring a new one. Because you will be acquiring a new loan with new conditions, a lender will have to get crucial information and records in order to confirm you are eligible for a refinance. Normally the following details will be checked when you apply for refinance:
- Your credit score and payment history.
- Your income and employment history.
- Your assets (stock, retirements and savings accounts).
- An appraisal to determine the current value of your home.
Refinancing is always a good option to consider once you have spent a few years with a particular lender. You may want to look for a better loan or want to pay off your mortgage faster.
At Select My Loan, we’ll be happy to help you find the right solution. With a range of refinancing options to help you choose the right loan that meets your current situation and also fits in with your future plans.
Home Loans packages can be quite competitive so let us put our experience to work for you. After all, who wouldn’t like to pay off their home faster?