If you love your car, but not your payments, refinancing your auto loan may be right for you.

When you refinance your auto loan you can lower your interest rate, which lowers your monthly payment. You may also be able to lengthen the term of your auto loan, which lowers your payments even more. You may also be eligible to skip a payment when you refinance your auto loan.

Auto loan refinancing is one of the best kept secrets around for saving you money, but most people never thought of refinancing their car. Auto refinancing of your car is the same as home refinancing. When refinancing auto loans, you pay off your current auto loan with a refinanced auto loan from a different lender that has a lower APR.  This is good for you because refinancing auto loans makes your monthly car loan payments lower, and your interest rate drops, which can allow you to pay off the balance of your car loan even quicker.

If you got talked into a high APR car loan, or even got a decent rate on your car loan, you can refinance your auto loan down to a lower rate and save money. Lenders now offer popular auto refinancing loans. They pay off your current auto loan and you pay them back at your new lower APR rate. Your auto loan can be completely refinanced within days after you apply.  If you had bad credit when you originally got the auto loan, it especially makes sense to refinance it if your bad credit has improved.

You don’t need an appraisal to refinance your auto loan

Many people erroneously believe an appraisal is required to refinance their auto loan. Unlike your home, which does require an appraisal because it is based on your equity in the home, auto refinancing is based on how much you need to pay off your current auto loan, not on the value of the car.

Who should refinance their auto loans?  What APR can you refinance a car at?

Anyone who did not get a subsidized 0% to 3% APR auto loan from the car manufacturer should consider an auto loan refinance. Even if you got a decent APR auto loan, you should consider auto refinancing.  Use the 1% rule – after you buy your car, start watching the auto refinancing interest rates  looking for refinancing auto loan rates at least 1% less than your current car loan interest rate.  Use the calculators on auto refinance lender sites to see how much it saves you to refinance your car. You’ll be astounded at how much money you can save, especially if you do it in the early years of the auto loan.

Where to start an auto loan refinance

First make sure you know the current interest rate on your auto loan, and the outstanding balance.  You can get these numbers by calling your current auto loan lender, or the dealer.  Then use the auto loan refinance calculator at RoadLoans.com and see if the current rates on auto loans can beat what you have now.  If approved, an auto refinance loan can be completed within a week to ten days, and in some cases you may actually skip a payment depending on how the dates fall – check with the lender.

RoadLoans – The Best Way To Find A Better Auto Loan!

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Tagged as: auto loan, bad credit, Refinance, refinancing

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