Only 3 reasons to restructure your car finance? Well, we are going to give you three good reasons but you can probably think of more. With the squeeze on your budget tightening almost daily, you are more than likely wondering which way to turn in order to make ends meet.
Some of the options available to reduce financial stress are to take out a loan, borrow from family, sell off something of value or cut back on expenditure. Borrowing from family is never an option one wants to resort to. How and when the loan is to be paid back also needs to be a consideration.
Cutting back on monthly expenses is not always possible in all areas as some things just have to be paid for – school fees, electricity and the like. Taking a loan with a financial institution will incur an additional monthly repayment, with interest. Do you have an heirloom or something of value that you can do without?
One of the least painful ways to bring relief to financial stress is to consider the restructure of your car finance.
Restructure Your Car Finance
- Unlock the Value in Your Car
Let us say you have a car which you financed through a loan to be repaid over 5 years. It is 3 years down the line and the loan still has 2 years to run to finalise. There is cash value waiting for you to access if you restructure your car finance.
If the residual of your loan is refinanced over a 5 year period, the monthly instalment will be reduced considerably.
2. Reduce Your Monthly Expenses
The monthly repayments that you have conscientiously been making have remained at the same interest rate. When you apply to refinance your car, your original loan will be paid off and a new agreement will be entered into. Usually, this is with a different finance company and a new – hopefully lower – interest rate can be negotiated.
This is a double bonus: your monthly car repayments will be less giving you extra cash to use elsewhere each month; plus you will gain the necessary time to adjust to your new circumstances.
3. Save Yourself Time
Carfin are one of the leading companies in South Africa providing a one-stop answer for car and vehicle finance. They are available to give all the information and guidance you will need to restructure your car finance. Carfin keep abreast of the latest trends and factors affecting the motor industry and also the economic issues involved.
Visit the website to gain pre-approval for refinancing by filling in their easy to use forms. A finance calculator is great to get an idea of the numbers you could be looking when you go ahead with refinancing.
The online application form is also available and you will be contacted by consultants to discuss your situation and guide you in the process of refinance. Be assured that this will be carried out with the utmost confidentiality and professionalism which will leave you delighted that you took the steps to restructure your car finance.