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umschulden

to refinance

verb oom-SHOOL-den Rare

Also means

to restructure debt

Usage Note

umschulden means to replace existing debt with a new loan, usually at better terms: den Kredit umschulden = to refinance the loan. Common when interest rates fall significantly after a mortgage is taken out.

Examples

"Er hat seinen Kredit günstig umgeschuldet."

Natural Translation

He refinanced his loan on favourable terms.

Literal Translation

He has his loan favourably re-debted.

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