Refinancing could save you:
Monthly payment savings
New monthly payment
Total payment savings
Current monthly payment
Auto Refinance Calculator Help
“Should I refinance my vehicle?” is a question many car and truck owners ask, especially when rates are low. Our auto refinance calculator can help you decide whether refinancing makes sense for your personal situation. Here’s the info you need to enter into the auto refinance calculator, plus some helpful information about your results:
Reasons to Refinance Your Vehicle
Refinancing your car loan can do wonders for your wallet by saving you money in both the short and long term. Essentially, refinancing pays off an old loan using another loan with better terms and/or interest rate. Though refinancing isn’t for everyone, there are plenty of reasons why it’s a great option for many. If you’re wondering whether it’s a smart option for you, our auto refinance calculator can be a great resource.
If interest rates were higher when you bought your car
The U.S. Federal Reserve is in charge of determining interest rates; they base their decisions on the health and prospects of the country’s economy. Until recently, rates had been steadily increasing since the financial crisis of 2008. Now, however, lower rates are available that previously weren’t. Because interest accrues daily, decreasing your interest rate can save you big both in your monthly payments and over the life of your loan.
If you’ve improved your credit score
Credit score has a huge impact not just on your ability to get approved for a loan, but also for the terms and rates you’re offered. If your credit score is higher than it was when you began your current car loan, you might be able to qualify for a loan with a lower interest rate – saving you money.
If your first loan didn’t have a great interest rate
Even people with stellar credit get stuck in bad car loans. One of the biggest reasons why this happens is that buyers put more emphasis on shopping for their car than shopping for their auto loan, agreeing to the first loan option offered. Though high interest rate loans are more likely to be upside-down more quickly, it’s still possible for many to get out and into a more reasonable offer.
If you’re looking to save money
Plain and simple. Refinancing any loan can make a big impact on your financial health. Whether you want to free up space in your monthly budget or pay less in interest over time, refinancing can help achieve your goals.
If you’d like to pay off your car more quickly
Motivated by lower monthly payments, many people opt for loans with longer loan terms. The problem is that longer loan terms means more money accrued in interest over time. So, even if you maintain your same interest rate in a new loan, refinancing with an offer that has shorter terms can save you money over the over the life of the loan. Plus, paying off a debt does wonders for your credit score, wallet, and sense of ownership.
If you’d like to potentially defer a payment
Refinancing often presents the opportunity to delay the start of the new loan for a short time. This can give borrowers a break for a month or two from making their car payment until the new loan begins. This can be a nice break for your pocketbook, and can give people the opportunity to catch up if they’re behind financially.
Overall, there’s plenty of reasons why refinancing your car loan is a great idea, and our auto refinance calculator can help show whether it’s a smart financial decision for you. If you have any questions, never hesitate to give us a call at 866-728-3436, or chat with ReFido, our auto refinance assistant!