Loan buyback: what does it actually mean?
“Loan buyback”, “refinancing”, “debt restructuring”, “renegotiation”: these neighbouring expressions cover different operations. Here is how to tell them apart.
Buyback, consolidation, renegotiation
A loan buyback means having one or more loans repaid by a new lender. Consolidation is when several loans are combined into one. Renegotiation means obtaining better terms from your current bank without switching.
- Consolidation: several loans → one
- Buyback of a single loan, often a mortgage, to change terms
- Renegotiation with your current bank
When does it make sense?
When your current terms no longer suit you (rate, term, payment), when your situation has changed, or when you want to fund a project while reorganising your credit. The benefit depends on costs, possible charges and the remaining term.
Our method
We analyse your current contracts, estimate the real gain and overall cost, and tell you whether it is worthwhile before any step.
Tell us in a few clicks what you want to finance.
Frequently asked questions
Buyback or consolidation: same thing?
The terms are close and often used interchangeably. Consolidation merges several loans into one; a buyback can concern a single loan.
Can a running mortgage be bought back?
Yes, but the benefit depends on the current rate, outstanding balance, remaining term and fees.
Let’s talk about your project
A few questions, a personalised review, a clear answer.