Tips for Auto Refinancing
Refinance and Save
If you have a high APR car loan, or even a decent rate, you can refinance your car loan to a lower rate and save lots of money. Lenders like up2drive.comYou don't need an appraisal to refinance your car loan
Get Your Credit Report First:
If you are shopping to refinance your car loan, get your credit report online first so you'll know now whether you are qualified before you talk to any lender. DO NOT apply for a car loan unless you have your credit score in hand.Your credit score will not drop if you run your own credit report.
You can get your credit report instantly online from Experian, Equifax or TrueCredit. Be sure to get your credit score with the credit report. If your credit score is below 600, don't bother applying for a car loan until you repair your credit first.
Once a year you can get a free credit report at Annual Credit Report .com, but it won't give you your credit scores.
You can verify the facts on credit scores at Experian, Equifax or TrueCredit.
Most lenders won't refinance their own auto loans, so you need to look for a different lender to refinance.
Even borrowers with bad credit can usually refinance with a lower APR, but most don't know it.Your actual APR depends on your credit rating
Not everyone gets the 7% or lower APR, but what you get will probably be lower than what you're paying now.Refinance your auto loan early
With car loans, the interest is mostly paid in the first 3 years of payments. The earlier your car loan is refinanced, the more money you save. If you wait until the 4th year to refinance your car loan, your savings will be a lot less.Who should refinance their auto loans?
Use the 1% rule. After you buy your car, compare the interest rates for auto refinancing at sites like up2drive.comAuto refinance loan applications need to be in the same names (with exact spelling) as the names on your current auto loan. Have your car loan account number ready. You must refinance more than $7500. Any less and it's not worth the auto refinance company's time. It's also important to have all the vehicle information accurate so that the new lender can check your car's value to make sure it meets Loan to Value ratio guidelines. Enter the year and model and enter the 17 digit VIN (Vehicle Identification Number), found on your dashboard or registration. Check your car's value first to make sure your car has more value than the loan you still owe on it.
Refinancing an auto loan can be easy
To refinance your auto loan, follow these easy steps:
- Call your current car loan lender and ask for your car loan payoff amount.
- Visit a car lender website like Capital One Auto Finance or Up2Drive and apply online if their APR is at least 1% less than your current car loan APR. Be sure to enter your vehicle's 17 digit VIN from your registration, and enter your name as it appears on your current auto loan.
- Your car refinance loan is usually approved in about an hour
- They will email you instructions on how to payoff your current car loan.
- Tell your current bank who your new lien holder will be, and have the title sent to them, not you.
- Use a free online payment calculator to check your rates and payments.
- Your state may charge a fee of $5 or more to transfer lien holders.
- Your loan can be usually be refinanced within 2 days.
If you don't look into auto refinancing today, you could be throwing away thousands of dollars!
Some of the best auto refinance sites are up2drive.com
and
FirstAgain.com Loans for Autos or Anything Else - Good Credit Only. A Better Loan Experience Guaranteed!
, with lower APRs than dealers.
