When is refinancing worth it?
Refinancing means closing one or more existing loans with a new loan, usually at a lower rate or longer term, to reduce the monthly payment. Consolidation combines several debts into one.
It's worth it if you get a lower APR than the average of your current loans, or if you want a single payment. Compare the total cost, not just the monthly payment.
- ✓Combine several loans into one payment
- ✓Possibly a lower rate than your current loans
- ✓Amounts from 10,000 to 200,000 lei
- ✓Extended terms for a lower payment
When refinancing is worth it: GEO 50 art. 67 and the breakeven check
Refinancing a loan only makes economic sense if the new APR is low enough that the saving covers the extra costs. The costs most consumers forget are four: the early-repayment fee on the old loan, the origination fee on the new one, property valuation (on mortgages), and the gap on insurance if the new bank requires different policies. On variable-rate personal loans, GEO 50/2010 article 67 sets the early-repayment fee at zero — a detail that makes refinancing much more accessible.
On fixed-rate mortgages, the early-repayment fee is legally capped: max 1% of the repaid amount with more than 12 months left, 0.5% with less than 12 months. The breakeven calculation is simple: divide total refinancing costs by monthly saving on the new payment. If the result in months is below 12 and you still have more than 24 months to pay, refinancing is almost surely worth it. If breakeven exceeds 36 months or you have less than 24 months left, the saving dilutes.
Consolidation is a particular form of refinancing: you combine several loans (cards, IFNs, consumer loans) into one, usually at a bank, with a single total payment lower than the sum of individual ones. Upsides: one due date, lower average interest (cards and IFNs are expensive), simple management. Classic downside: if the new term is much longer, total cost can rise even though the payment drops. Always check total cost, not just monthly payment.
How an application affects your Credit Bureau score
Simply comparing offers on Kreditano leaves no mark at the Credit Bureau. There is no inquiry, no score change. Your data is not transmitted anywhere at this stage.
A Credit Bureau inquiry only happens when you actually apply with a lender — that is, when you fill out the application form of the chosen bank or non-bank lender. This is a "hard inquiry" with a slight, temporary impact (usually minus a few points for a few months). If you apply for multiple loans within a short window (14–30 days, depending on the lender), the Credit Bureau may treat them as a single inquiry for the same loan type — by design, to encourage comparison.
Payment history matters most. Paying installments on time raises your score monthly; a single delay over 30 days drops your score significantly and stays on file for years. Before applying for a new loan, make sure you have no active delays and that your debt-to-income ratio doesn't exceed 40% (the National Bank of Romania's regulated maximum for most lei-denominated loans).
Your consumer rights in Romania
The Romanian consumer credit law (OG 50/2010, transposing EU Directive 2008/48/EC) guarantees you clear rights. Before signing, the lender must provide the European Standard Information Sheet (ESIS), which contains all essential data: APR, interest rate, amount, term, monthly payment, total cost, fees, and the consequences of non-payment. You have the right to take this sheet home and compare it with other offers before deciding.
You have a 14-calendar-day right of withdrawal without penalty from contract signing. During this window you can cancel the loan without explanation; you only need to return the principal plus interest calculated for the actual days. You also have the right to early repayment at any time; for variable-rate loans the fee is zero, and for fixed-rate loans it is capped by law (max 1% or 0.5% depending on remaining term).
If you have an issue with a lender, the first step is a written complaint to the lender. If you don't receive a satisfactory answer in 30 days, you can escalate to SAL-FIN (Alternative Dispute Resolution for the non-bank financial sector, salfin.ro) for IFN issues, or to ANPC (the National Consumer Protection Authority, anpc.ro) for pre-contractual information or commercial-practice issues. Both procedures are free.