topic Re: Motorcycle Loan Refinance in Auto Loans

Motorcycle Loan Refinance

CorySoccer — Wed, 27 Apr 2022 12:02:15 GMT

Hello all!

I have a question that I have not seen answered anywhere and I'm hoping someone can help me out!?

I bought a motorcycle in April of 2020 and got a loan through Sheffield Financial at a rate of 10.95%. When I applied for the loan my credit scores were not the best (mid-upper 500's). My credit scores are much better now (upper 600's -low 700's) and my salary has doubled.

The loan amount was for $8,100. My monthly payment was $180.81. My remaining balance is $5,480.64. It's a 60 month term.

I just happened to be checking my online credit apps (Credit Karma, Credit Sesame, Experian, Nerd Wallet, Credit Wise and Credit.com etc...) as I do regularly just to make sure nothing weird happens. Yes, I know they aren't the most accurate but they're free soo....

One of the apps had a recommendation that if I refinanced with myautoloan.com (yes I know this is an advertisement) I had a good chance to lower my payment/rate of my motorcycle loan. Basically it said it could cut my payment in half. It never dawned on me to look into refinancing my motorcycle loan now that my credit is MUCH better.

I tried applying through myautoloan.com (it says it's a soft pull but then it has some weird wording that it's a hard pull?) but they check several loan companies as many do and show you the best options/rates etc...

When I filled out my info I got to the screen that asked how much of a loan I needed (basically the payoff amount) which was a little over $5k. Myautoloan.com's minimum loan amount for a motorcycle refinance is $7,500. I called to verify this and it's accurate.

My question is...does anyone know of any motorcycle loan refinancing companies or websites that have good rates to refinance a low amount such as $5k?

Thanks in advance!

Re: Motorcycle Loan Refinance

CYBERSAM — Wed, 27 Apr 2022 16:30:36 GMT

Try Credit Unions! They are usually lower than most banks and brokers.

5K loan should not be an issue given you already have your bike.

Check out CUs around you and see what they offer. Avoid going to the smallest CU near you!

Re: Motorcycle Loan Refinance

CorySoccer — Wed, 27 Apr 2022 17:56:07 GMT

@CYBERSAM Thanks man! I'll try that.

Re: Motorcycle Loan Refinance

Kforce — Wed, 27 Apr 2022 18:44:34 GMT

Some info and numbers to help or confuse.

On loans the majority of the interest is paid during the first half of the loan.

Over the 2 years with your current loan you have lost ~$1,500 in interest.

With current loan you only will pay another ~$900 until loan is paid off.

If you up the amount you pay every month, (230/mo = 730 interest), (300/mo = 500 interest).

Even with a new lower interest loan if you pay over the full loan term a lower monthly amount you can end up paying more.

New Loan: $5,500 @ 5% for 60 months = 104/mo and $730 in interest

If you get a new loan take a shorter term and or pay more than the minimum regular payments if the goal is saving money.

Re: Motorcycle Loan Refinance

texasguppie — Wed, 11 May 2022 01:29:52 GMT

Yes!

Ironhorse LLC just refinanced my 2019 HD FLTRXS and saved me big time over Eaglemark Savings Bank.

Re: Motorcycle Loan Refinance

CorySoccer — Tue, 14 Jun 2022 22:05:53 GMT

@texasguppie Sorry for the way late reply! Do you know what CRA Ironhorse pulls/uses for their re-finances?

Thanks!

Re: Motorcycle Loan Refinance

texasguppie — Wed, 15 Jun 2022 21:51:47 GMT

TU and EX