is replacement of an existing debt obligation with a debt obligation bearing different terms. The most common consumer refinancing is for a home mortgage.

Why Use Refinancing
Refinancing usually reduce interest rate/interest costs by refinancing at a lower rate, extend the repayment time or to pay off other debts. Refinancing only works if the interest rates are low, and if it saves lots of money which would have else been used to pay off the monthly recurring bills on the current loan.

How and Where to Apply For a Refinancing