Hopefully someone can answer some q's for me... I don't know where to start. Last January, my hubby and I bought a 2007 Malibu Maxx and Drive is the only company that would finance us. The loan was for $15234 & in 14 months it's down to $12700. Miles: 30200. Per Kelly Bluebook, the "excellent" (dealer reconditioned) retail value of the car is $12825. So I guess the real value of the car is a thousand or 2 lower. Our payments are $347 but I usually pay $100-$300 more each month. We have never been late on a payment. The interest is HORRIBLE 18%. My husband and I are both owners. My credit is TU 681 & EQ 756, his are TU 616 & EQ 555. I am on SS disability & yearly income is only $9500. His income (last year 2008) was $24700, but he started a business & now it's more like $55000 (proof of this will start when he files 1st quarter taxes in April). I am disputing 12 re-aged items on my TU, hopefully they will be removed in a month or so, thus should improve my TU score. I was thinking we should qualify for a refi at a lower rate, no? Here are my q's: *Would we have to refi the same way, i.e. I'm the main & he's the co-maker, since my income is so teeny? *if so, Would his scores prevent us from getting a better rate? *what would an auto refi do to FICO: -- what would happen to the 1st finance company on the CRs? would it stay on there as paid/transferred/in good standing for the reporting duration, thus helping FICO? -- would the new refi loan show as a new account, thus shorten the credit history age, thus lower FICO? -- would it change util because the new loan would be new, thus lowering FICO? -- should I wait to see if the 12 disputed items are removed from my TU before I try to refi? *should I just wait until we've paid off more on it? As yall can see, I have really no clue how the auto refi process works, I just know that we really need to refi because the interest rate is so terrible. Making the payments is not a problem. It's the interest that is frustrating. Half the payments goes to interest (if I pay $400, that's why I pay more) Any advice is SO APPRECIATED! Thanks!
