With interest rates remaining low, it may be a good idea to consider refinancing your current car loan. Refinancing your vehicle is usually quick and easy and could save you hundreds of dollars per year.
To help you decide if this is right for you, here are a few things to consider:
- Lower monthly payments
- If your financial situation has changed since you purchased your car and you need to make lower monthly payments, refinancing could be a solution. Talk to your banker about refinancing options to fit your situation.
- Change the length of the term
- If your original loan was short term, the payments can be overwhelming. By refinancing at a lower rate, you may have the option of changing the term and payment amounts.
- Pay less in interest
- Having a lower interest rate can save you money over the life of your loan.
- If the lease on your car is expiring, refinancing could be a way of purchasing the vehicle.
- Use the refinance loan to buy out the lease and make your payments to the lender. At the end of the loan, you will own the car.
- Improved credit
- If your credit score has improved over the past few years, this could help you qualify for a lower rate on your loans. Learn more about checking your credit score here.
Think refinancing is a good option for you?
We have a calculator that will assist you in determining your new monthly payments. Find the calculator here.
If you have any questions or would like to get started, you can call a local banker or contact us online here. We’re happy to help.