In the context of a consumer credit, this is a recalculation of the interest rate. When you take out such a loan, interest is calculated based on a rate and a repayment term. When, some time later, a borrower realizes that the economic situation is favorable to him and that the interest rates have fallen, he can make an appointment to his adviser and ask him for a rate revision . This can have a very significant impact on the repayment of a loan. With this rate cut, it is possible to reduce the repayment period or the amount of monthly payments.
Why request a rate review?
Bark and Sophia realized a consumer credit a year ago. However, the rate of their credit was then 5.75%, the amount of their monthly payments suffers. Recently, Bark heard that interest rates were falling, so he decided to contact his bank advisor and request a rate review . The latter then studied his request and recalculated his credit according to the new rate applied namely 4.85%. Every month, Bark and Sophia manage to save money.
Reimburse consumer credit
When Arnold saw that the rates were going down, he too decided to meet his advisor. Now, after calculation, Arnold realized that a rate revision was not so favorable to him. In fact, this involves fees that often represent a percentage of the gains made after the rate revision.
Marine, meanwhile, wanted to revise its interest rate or his bank did not wish to make any special effort. She completed a form on Sergeant Frans Pixel and was able to compare in a few minutes offers from various banks and other credit agencies. It has managed to increase its rate from 6.25% to 5% for substantial savings in the end. It is essential for borrowers to be interested in interest rates which, when they fall, save money. While some choose to reduce their monthly payments, others prefer to reduce the term of the loan and are even more successful.