Debt Restructuring & Refinancing
For borrowers wanting to consolidate, restructure or refinance existing debt — including reducing repayments, improving cash flow, switching lenders or reorganising security across multiple facilities.
What debt restructuring and refinancing covers
Debt restructuring involves reorganising existing lending arrangements to better suit your current financial position. Refinancing involves replacing an existing loan with a new one, either with the same lender or a different one.
These strategies are used by both individuals and businesses. Common reasons include reducing repayments, accessing equity, removing a guarantor, simplifying multiple facilities or responding to a change in financial circumstances.
Who needs this service
- Borrowers who have not reviewed their loans in several years and want to understand their options
- Property investors wanting to restructure lending across multiple properties
- Business owners needing to reorganise multiple commercial facilities
- Borrowers wanting to consolidate credit card debt, personal loans and other facilities
- Borrowers wanting to release a guarantor from an existing loan
- Borrowers with multiple lenders wanting to simplify their debt
- Borrowers whose fixed rate period is expiring and want to assess their options
How lenders assess restructuring applications
- Current financial position — income, expenses, existing debt and repayment history
- Security value — updated valuations may be required for property-secured restructuring
- Purpose — lenders assess why the restructure is needed and whether the new structure is serviceable
- Credit history — any missed or late payments affect what lenders will offer
- Break costs — existing fixed-rate loans may have break costs that affect whether refinancing is worthwhile
- Total debt — consolidation can increase total debt if structured incorrectly
How Bridle Partners helps
- Reviewing your existing loan structure and repayments
- Modelling the cost-benefit of refinancing or restructuring before recommending action
- Identifying lenders with appetite for your restructured position
- Managing multiple refinances across several properties or facilities simultaneously
- Working alongside your accountant or solicitor where needed
Documents usually required
- Current loan statements for all facilities
- Two years of personal tax returns
- ATO Notice of Assessment
- Bank statements (3 months)
- Council rates notices for any properties
- Business financials (if applicable)
- Most recent valuation (if available)
Common mistakes to avoid
- Not calculating break costs before committing to exit a fixed-rate loan
- Consolidating short-term debt into a long-term loan without understanding the total interest cost
- Refinancing for a small rate saving without accounting for establishment fees and switching costs
- Not reviewing all facilities — a partial restructure can leave the most costly debt in place
- Making decisions without current financials — lenders assess based on your position today, not what it was when the loan was originally approved
Frequently asked questions
- What is debt restructuring?
- Debt restructuring involves reorganising existing debt to improve your financial position. This may mean consolidating multiple loans into one, extending loan terms to reduce repayments, switching lenders for better rates or terms, or reorganising security across multiple properties or facilities.
- Is refinancing always worth it?
- Not always. The value of refinancing depends on the interest rate saving, any break costs on existing fixed loans, establishment fees for a new loan, and how long you plan to hold the loan. We model the cost-benefit before recommending a refinance.
- I have multiple loans across different lenders. Can you help consolidate them?
- Yes. Consolidation involves combining multiple facilities into one or fewer loans. This can simplify management and potentially reduce repayments. Whether consolidation makes sense depends on the existing loan terms, rates and any exit costs.
- What are break costs on a fixed rate loan?
- If you exit a fixed-rate loan before the fixed term ends, your lender may charge a break cost based on the difference between your fixed rate and the current wholesale rate. These costs can be significant. We review your existing loan terms before recommending refinancing.
- Can Bridle Partners help if I have an ATO payment plan or financial difficulty?
- This depends on the specific situation. Some lenders have appetite for borrowers managing their way through a difficult period; others do not. We review your position and identify realistic options before making any recommendation.
Discuss your debt position
Speak with Bridle Partners before making any changes to your existing lending. We review your position and model whether restructuring or refinancing makes sense for your situation.