How to Refinance Your Auto Loan

Refinancing can sound scary but nothing could be further from the truth. When you refinance your auto loan you are basically creating a new loan to replace the old one.

Reasons You might Want to Refinance:

• To pay a smaller monthly payment
• Get a better interest rate (especially if your credit is better now or if interest rates are down)

To refinance your loan the name on the old loan and the new loan must be the same. The amount you owe on your old loan can’t be more than your car is worth, and the new, refinanced loan must be for more than $7500.

Here’s a tip: if your credit score is low than you might want to spend some time raising your credit score before you refinance.