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Get better terms on old debt – Consolidating the loans

Many Norwegians are not aware that it is possible to negotiate better terms with the bank. By refinancing you will be able to save large sums.

Refinancing small loans gives you a better negotiating position while providing a better financial overview.

If you have several small loans, you will be able to save a lot by consolidating the loans into one new loan. In the total accounts, you will almost always get better loan terms after refinancing, explains Moneymore Bank retail market manager Celso Paran.

Moneymore Bank helps hundreds of customers annually refinance loans and clean up the private economy. Here are some tips on what you should be aware of when considering or refinancing.


1. Understand what negotiating room you have with the banks

1. Understand what negotiating room you have with the banks

Although the bank states a guiding interest rate in its communication, they usually have something to go on. It is therefore perfectly possible to try to push interest rates below what the bank states as their best offer, ”Paran urges.

According to a survey conducted by Moneymore Bank, only three out of ten mortgage customers have negotiated interest rates with the bank during the past year. In other words, a large portion of the population does not negotiate their loan terms.

There is nothing wrong with interrogating with several banks. If you get better terms elsewhere, use the offer to negotiate with your current bank. If the bank does not want to offer you a matching offer, you can switch banks, Paran emphasizes.


2. Check membership benefits if you are a member of a trade union

2. Check membership benefits if you are a member of a trade union

If you are a member of an association, it is worth checking the terms of the membership.

The unions negotiate agreements on the roads of all their members. They therefore stand stronger than individuals. That is why unions often have good agreements with banks and insurance companies, explains Paran.


3. Know your financial situation  

3. Know your financial situation & nbsp; & nbsp;

When banks consider your loan terms, the ability to pay and security is a deciding factor.

If you are in a stronger financial situation, the risk to the bank is lower and is a strong argument for getting better loan terms. If you have repaid part of the loan or gone up in salary, your financial situation is better than when you entered into the loan agreement, says Paran.


4. Use expertise when needed

4. Use expertise when needed

Getting more people to consider your case may be wise if you are stuck

We can contribute professional expertise to assess your particular case. We specialize in cleaning up the private economy and helping many in the right direction, Paran concludes.

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