The idea is simple. You must do calculation all the time, if you already have a loan. Because:

- conditions are changing all the time to existing loans (interest rate, commissions, etc)
- conditions are changing all the time to NEW loans

So every month you should check to see where are you standing and if it worth to make a refinancing to the present loans.

Refinancing is a simple operation. You just take a new loan, from another bank (or the existing one) in order to refinance the existing ones. Refinancing can be done together with debt consolidation (if you were a champion in taking too many loans:) )

When it pays to refinance?
- when conditions on the market changes and you end up with credits with higher interests rates
- when you need lower/higher rates to your existing loans, due various terms. Let’s say your incomes dropped due recession, and you want to cut 33% from your rate, in favor of increasing the loan duration, from 10 years to 30 years, let’s say.

At what aspects you should be careful:

- never refinance if you pay more
- calculate all the costs, not only the interest
- check also the refinancing fee. There is a possibility to go for a zero refinancing fee option, but you will pay definitely more month to month

That’s it for now. I hope this several advices will help you