Refinance

Pronunciation: /ˌriːfəˈnæns/

Refinance (verb)

  1. To change an existing loan by getting a new one, often with different payment terms.
  2. To arrange new borrowing so payments are smaller or easier to manage, usually by changing interest rates.
  3. For a company, to replace old debts with new ones to improve cash flow or reduce total costs.

Examples

  • She refinances to replace loan terms with better conditions.
  • They refinance the mortgage to replace loan terms after a rate change.