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How to lower payments

Contributor

How to lower payments

My wife and I both have auto loans with Toyota Motor Credit. Well, technically it is one loan as the other is a lease. We are what I consider long time Toyota customers with our last four vehicles all being Toyotas financed through TMC.

 

When we got into the most recent vehicles we had some credit issues, coming out of a short sale, etc... but have sinced paid off 90% of the bad debt and managed to secure a new home loan. We are current in payments on both vehicles and have been from the start.

 

Would TMC work with us to lower the rates/reduce the monthly payments? Would that have any negative impact to the credit repair work we have already done?

 

Thanks!


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4 REPLIES
Super Contributor

Re: How to lower payments


_John_Doe wrote:

My wife and I both have auto loans with Toyota Motor Credit. Well, technically it is one loan as the other is a lease. We are what I consider long time Toyota customers with our last four vehicles all being Toyotas financed through TMC.

 

When we got into the most recent vehicles we had some credit issues, coming out of a short sale, etc... but have sinced paid off 90% of the bad debt and managed to secure a new home loan. We are current in payments on both vehicles and have been from the start.

 

Would TMC work with us to lower the rates/reduce the monthly payments? Would that have any negative impact to the credit repair work we have already done?

 

Thanks!


I'd just give them a call and ask if they'll refinance their own loan;  some lenders will do this, others won't......

 

If no, then shop around and you should likely be able to get a decent rate, assuming your FICO scores are ok.    What is your current interest rate on the loan?

March2010 FICO® ~ 695 TU, 653 EQ, 697 EX
Message 2 of 5
Member

Re: How to lower payments

There was another question about this-- almost no finance company will refinance their own loan as there is zero benefit to them to help you pay them less money. You'd need to refinance with someone like NFCU, DCU etc to reduce the rate and therefore the payment.

Message 3 of 5
Contributor

Re: How to lower payments


wntrwhte2 wrote:

There was another question about this-- almost no finance company will refinance their own loan as there is zero benefit to them to help you pay them less money. You'd need to refinance with someone like NFCU, DCU etc to reduce the rate and therefore the payment.


That makes sense. I'll talk with our credit union. Even if we could refinance just one vehicle at a savings it would be helpful.


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Regular Contributor

Re: How to lower payments


wntrwhte2 wrote:

There was another question about this-- almost no finance company will refinance their own loan as there is zero benefit to them to help you pay them less money. You'd need to refinance with someone like NFCU, DCU etc to reduce the rate and therefore the payment.


Where this is true, it is also false. They do loose money if they refi with you yes, but they also loose even more money if you refi with someone else Smiley Wink

Always worth a shot, as far as I've heard, it can't hurt to ask!

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