How to refinance your car loan
Gather key info. So that you’re not running around the house looking for paperwork before the online application signs you out, gather the paperwork beforehand. You may need to know the following:
• Current loan balance or payoff amount
• Current loan APR
• Original loan amount
• Current loan length and how many months you have left
Apply to lenders. Applying to multiple lenders in a 14-day window only counts as one inquiry on your credit report. We recommend applying to a few at one time so you stick within the window and can compare the offers together. You could fill out an online form at LendingTree and get up to five auto refinance loan offers from lenders, depending on your creditworthiness. Potential lenders can be credit unions, banks and online financers.
Pick and choose. Compare your offers. Look at the monthly payment and APR. Consider what’s the cheapest and the most convenient for you. To reject an offer, you don’t have to do anything. Many auto loan offers expire within 30 days. To accept an offer, contact the lender so it can guide you through the rest of the process.
Is an auto loan refinance worth it?
If you’re considering an auto loan refinance, use the auto refinance calculator and see how you could lower your payment or save money.
It may be worth it if lowering your payments would give you peace of mind and free up your monthly budget. It could also be worth it if refinancing would save you money.
It may not be worth it if refinancing your car wouldn’t save you money or lower your car payment enough to make a difference.