Refinancing Your Home Loan
Stage 4: Talk to Your Current Lender
Before you engage in serious discussion with other lenders, it is worthwhile talking to your current lender to see what they can do to keep you. Generally, it is easier for lenders to retain existing customer rather than trying to look for new client. Here are some benefits of doing this:
- Quick and Easy – Your current lender already has your details and know your repayment history
- Avoid Paying Refinance Fees – Refinance cost can be quite significant
- Save Time and Paperwork – Refinance process from start to finish can take up to 2 months. There is also numerous paperwork that you need to provide and prepare for new lenders
- Room for Negotiation – Lender will try and do their best to keep you as a customer especially if you also have your day to day banking with them
If you think that you only have a small loan and you are not important to your current lender, think again.
If your loan balance is $300,000, your interest rate is 3% and you have 25 years remaining on your loan term, the potential loss to the lender will be close to $130,000 in interest revenue.
We’re here to help you
Dealing with banks can be a stressful experience but rest assured that our mortgage broker based in Glenelg (but our mortgage broker services the entire Adelaide Metropolitan area) can help you make the right decision about your mortgage. We will guide you at every stage of your loan process.
Contact us on 08 8376 0455 or drop into our office at 593 Anzac Highway, Glenelg SA 5045.
Any advice contained in this article is of a general nature only and does not take into account the objectives, financial situation or needs of any particular person. Therefore, before making any decision, you should consider the appropriateness of the advice with regard to those matters. Information in this article is correct as of the date of publication and is subject to change.