topic Re: I Did A Thing! Refinance Success in Auto Loans

I Did A Thing! Refinance Success

Newbie2018 — Fri, 17 Mar 2023 16:22:56 GMT

Yesterday i refinanced my 10.95 apr to 5% apr at my local CU! I'm a year post bankruptcy as of February 2023. I am so so proud of me.

Celebrating how much money i'm about to save :

Re: I Did A Thing! Refinance Success

CYBERSAM — Fri, 17 Mar 2023 16:28:41 GMT

Congrats on lowering your APR! Credit Unions for the win 👍👍

Re: I Did A Thing! Refinance Success

LakeLife — Fri, 17 Mar 2023 16:36:28 GMT

Congrats on all your hard work and success post BK!

Re: I Did A Thing! Refinance Success

TRC_WA — Fri, 17 Mar 2023 16:42:37 GMT

Congrats! I plan on doing the same at NFCU with my Bronco financing later this year when my reports go clean.

Re: I Did A Thing! Refinance Success

Newbie2018 — Fri, 17 Mar 2023 16:42:42 GMT

Thank you! I literally just joined and the same day i applied! Navy told me no and pen fed told me 9.3% 😩

Re: I Did A Thing! Refinance Success

Newbie2018 — Fri, 17 Mar 2023 16:43:23 GMT

I wasn't a year post discharge maybe that's why Navy told me no. I'll definitely see if doors open after June with Navy. Good luck

Re: I Did A Thing! Refinance Success

Newbie2018 — Fri, 17 Mar 2023 16:43:40 GMT

Thanks man!

Re: I Did A Thing! Refinance Success

TRC_WA — Fri, 17 Mar 2023 16:44:42 GMT

@Newbie2018 wrote:
Thank you! I literally just joined and the same day i applied! Navy told me no and pen fed told me 9.3% 😩

Yeah I got the same treatment when I joined Navy and PenFed last year. I am building a relationship with both though as we speak... Penfed CC and Navy CC with direct deposit.

I prefer Navy by far and just waiting for my baddies to fall off later this year for the best possible refi rate.

Re: I Did A Thing! Refinance Success

Newbie2018 — Fri, 17 Mar 2023 16:55:33 GMT

@TRC_WA wrote:
@Newbie2018 wrote:
Thank you! I literally just joined and the same day i applied! Navy told me no and pen fed told me 9.3% 😩

Yeah I got the same treatment when I joined Navy and PenFed last year. I am building a relationship with both though as we speak... Penfed CC and Navy CC with direct deposit.

I prefer Navy by far and just waiting for my baddies to fall off later this year for the best possible refi rate.

Definitely! I do hope rates somewhat go down i'd like a 2-3% apr. My secured graduated with Navy and i'm just awaiting on my 6 months to request the cli. I'm all done with Cards. I'm in the garden now that i've refinanced and gotten enough cards to show a good rebuild. Wouldn't mind the 25k hype but i'll wait til after next year when i start/finish home buying (can't wait)

Pen fed denied me a CC because of "thin file"

Re: I Did A Thing! Refinance Success

TRC_WA — Fri, 17 Mar 2023 17:01:45 GMT

@Newbie2018

You sound exactly like me. Good luck!

Re: I Did A Thing! Refinance Success

Newbie2018 — Fri, 17 Mar 2023 17:06:53 GMT

@TRC_WA wrote:
@Newbie2018

You sound exactly like me. Good luck!

Thank you! Same to you.

Re: I Did A Thing! Refinance Success

JoeRockhead — Fri, 17 Mar 2023 17:11:19 GMT

Very nice, nicely done, congratulations!

Re: I Did A Thing! Refinance Success

RSX — Fri, 17 Mar 2023 17:50:26 GMT

Congrats!

and if you want to lower the Total Interest paid, by even more, keeping the payment at $660 if you can afford it

that will definitely shorten your term and the amount of the total interest

also, if they give you the first month without a payment - make the payment anyway

that trick makes them sooooo much extra money - (consider your $400 payment just then got pushed out by 76 months, and the interest will accrue on that the whole time)

Re: I Did A Thing! Refinance Success

Newbie2018 — Fri, 17 Mar 2023 18:20:19 GMT

@RSX wrote:
Congrats!

and if you want to lower the Total Interest paid, by even more, keeping the payment at $660 if you can afford it
that will definitely shorten your term and the amount of the total interest

also, if they give you the first month without a payment - make the payment anyway
that trick makes them sooooo much extra money - (consider your $400 payment just then got pushed out by 76 months, and the interest will accrue on that the whole time)

Ok so i do plan to continue to make the payment i been making before hand ($641 actually not $659)but i asked the CU how do i make interest only payments. They do an auto draft every month on the 29th. For principal only payment i have to make the payment the same exact day for it to go towards principal. My due date with the old lender is coming up on the 21st. I usually pay half first two weeks (bi weekly pay checks) and the other half on my second check of the month. Should i make the payment to the new lender on the 21st rather than waiting for my first payment date with the new lender (April 29th)?

Also, i canceled the gap and extended warranty with old company and once i receive the refund i'll be applying it to the principal balance.

I plan to have this thing paid down from $34k to $30K by the end of next month well before my actual first payment is due.

Re: I Did A Thing! Refinance Success

RSX — Fri, 17 Mar 2023 18:24:04 GMT

do you have a checking acct with the CU yet? it will likely make it easier for the extra payments

if so - push money there every paycheck and then use it to make payments on the acct

i have PenFed CU for my car - and I just make manual payments above and beyond the monthly payment

i push money from my main banking acct to my PenFed checking acct - then make the extra payments to the car from that checking acct

the drawback to CUs if they have some weird processes sometimes, but i wouldn't worry about whether the extra payment is pure principal or principal plus interest - it all ends up the same

PenFed is mix - first goes to the outstanding interest, then the rest of the extra payment goes to principal

Re: I Did A Thing! Refinance Success

RSX — Fri, 17 Mar 2023 18:28:30 GMT

since it is already the 17th, i would make the payment to the old lender on the 21st - if the full paydown check hasnt arrived yet - i think the timing is a little tight, depending on when you processed this

the new lender may not send over the check until after the 21st, and then you would get hit with a late payment

(yes CUs actually send paper checks)

good plan on the GAP refund check - they take awhile to arrive - but definitely process the request for the refund ASAP when the loan is closed out by your current lender

Re: I Did A Thing! Refinance Success

Newbie2018 — Fri, 17 Mar 2023 18:38:05 GMT

@RSX wrote:
since it is already the 17th, i would make the payment to the old lender on the 21st - if the full paydown check hasnt arrived yet - i think the timing is a little tight, depending on when you processed this

the new lender may not send over the check until after the 21st, and then you would get hit with a late payment
(yes CUs actually send paper checks)

good plan on the GAP refund check - they take awhile to arrive - but definitely process the request for the refund ASAP when the loan is closed out by your current lender

My CU actually said they overnighted the check. The day i went in to sign papers 16th she had the check in the envelope and said it would be overnighted the next day so in that sense i'm assuming Saturday but Monday since it's the next business day they would receive it.. I do have access to the old Lien holder account and i have access to the new one as well. I do have a checking with the CU. So pay the old one not the new one? Don't wanna get screwed.

Yeah not expecting the refund for another 6-8 weeks but knowing it's coming is enough for me

Re: I Did A Thing! Refinance Success

Newbie2018 — Fri, 17 Mar 2023 18:41:59 GMT

Monday i'm calling the old lien holder to make sure it was received cleared and closed out so i can no for sure if i need to pay them or pay the new leinholder.

Re: I Did A Thing! Refinance Success

cashorcharge — Fri, 17 Mar 2023 21:00:03 GMT

Congrats on the financial success!!!!

Re: I Did A Thing! Refinance Success

Newbie2018 — Fri, 17 Mar 2023 21:19:09 GMT

@cashorcharge wrote:
Congrats on the financial success!!!!

Thank you 😊