Auto Refinancing Advice

[Shadowfactor]

Hello,

My girlfriend is looking to refinanace her car.

Shes looking at trying to get the interest rate down. Any suggestions ?

Saw US bank has a auto refiance for 2.62% since she qualifies for the EPA Smart way green discount.

the car is a 2017 Chevy Malibu

The current loan is through Huntington Bank 72 month term. 4.64% She owes 23,525. Shes paid 12% of the current loan. Loan is 7 months old.

Nothing negative wise on her reports

Her FICO 8 scores:

EX 758 (11/18/17) Amex

TU 739 (11/10/17) BoA

EQ credit Karma score 722 ( today)

Inquires:

3 Tu

3 EX

5 EQ

AAoA

TU 2.3 years

EQ 2.9 Years

EX- Not sure

Credit card accounts

Discover 8500 CL, 3600 balance. 4 months ( currently carrying a balance since 0% APR)

Wells Fargo Charge account 5700 CL, 1K balance. 5 months ( currently carrying a balance since 0% APR)

Capital One 9K CL, 650 Balance, 2.3 Years ( Will report Zero on next cycle)

US Bank 4K CL. 92 Balance, 4 Months ( will report zero on next cycle)

BoA 6K CL, 35 Balance, 1 month ( Can get this one to zero as well)

American Express 22K CL, 0 Balance, 4 months

Student Loans ( currently paying on all of them)

7500 Loan, Balance 6500, 3.3 years

5500 Loan , balance 4562, 4.3 years

4500 loan, balance 3700, 5.3 years

3500 loan , balance 2900, 6.3 years

2000 loan, balance 2100, 6.3 years

2000 loan, balance 2049, 5.3 years

2000 loan, balance 1800, 4.3 years

Closed student loans

4 Closed last year, All paid off

[Appleman]

What is her current interest rate?

Have her try CapitalOne Auto Navigator for the SP (soft pull) refinance (a HP if she takes their offer). See if that improves things.

If she is not a member with PenFed I would personally give them a try. 1 Hard Pull on Equifax and that should cover her membership, an auto loan refinance and potentially a credit card and PLOC (if she wants to go that route). Take a look at the PenFed site for refinance rates, and because of the year (2017) it should qualify for the new car rate. Currently it appears that PenFed is using FICO 09 scoring which has helped some and hurt others.

Others will suggest DCU as they have great rates. 

Finally NFCU if she is eligible has been good for many on the boards.

Good luck and please let us know what she does.

[Shadowfactor]

The current interest rate of her loan is in the original post. 4.64%

So for penfed she would have to take a HP to even get a membership there ? Im not familar with them at all ?

[dabrian]

Talk to someone at eithier DCU and Penfed. With a 72 month loan at 12 percent interest I suspect she is several thousand upside down in her loan.

[bigpoppa09]

OP said the APR is 4.64% not 12 she has paid 12% of the cars balance.

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@dabrian wrote:
Talk to someone at eithier DCU and Penfed. With a 72 month loan at 12 percent interest I suspect she is several thousand upside down in her loan.

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[bigpoppa09]

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@Shadowfactor wrote:

The current interest rate of her loan is in the original post. 4.64%

So for penfed she would have to take a HP to even get a membership there ? Im not familar with them at all ?

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Yes One HP for membership make a 15 donation to qualifying organization u can then apply for any of there products HP good for 90 days.

[Shadowfactor]

Okay thanks.

She called USbank and they said they might not be able to give her a good rate since the amount owed on the loan is more then 120% of the value of the vehicle ?

Is that going to be an issue on PenFed or DCU as well ?

[bigpoppa09]

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@Shadowfactor wrote:

Okay thanks.

She called USbank and they said they might not be able to give her a good rate since the amount owed on the loan is more then 120% of the value of the vehicle ?

Is that going to be an issue on PenFed or DCU as well ?

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Yes all lenders has a LTV they go by efore applying u can call DCU and ask whats the max amount they can Refi it for.

[marty56]

I would check with a local CU.  RBFCU will finance 125%.  Their best rate is 1.95% if you apply online.