Auto Refinance Question

[ssdc1980]

I financed my truck back in 2008 @ 16.9%. Had no idea at the time what my credit scores were (found out later 565/589 not sure which bureaus). I knew I had a couple of collections at the time and a couple of 30 days past due on my previous auto loan, so I assumed my credit score was pretty bad and was lucky to get a loan at all. Anyways I am almost 4 years through a 6 year loan and am pondering a refinance. Currently TU 667 EQ 646 EX ? My truck in a 2008 Chevy Silverado with 15,000 miles and bluebooks at 31,000 and I owe about 13,000. My Question for everybody is, with my current scores what are the odds of me getting approved for a refinance and also is refinancing a wise move this late in the loan. I'm not too educated in fico-verse yet so any help would be appreciated.

[pizzadude]

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@ssdc1980 wrote:

@I financed my truck back in 2008 @ 16.9%. Had no idea at the time what my credit scores were (found out later 565/589 not sure which bureaus). I knew I had a couple of collections at the time and a couple of 30 days past due on my previous auto loan, so I assumed my credit score was pretty bad and was lucky to get a loan at all. Anyways I am almost 4 years through a 6 year loan and am pondering a refinance. Currently TU 667 EQ 646 EX ? My truck in a 2008 Chevy Silverado with 15,000 miles and bluebooks at 31,000 and I owe about 13,000. My Question for everybody is, with my current scores what are the odds of me getting approved for a refinance and also is refinancing a wise move this late in the loan. I'm not too educated in fico-verse yet so any help would be appreciated.

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Assuming that your current loan has positive payment history then I don't think you would have any trouble refinancing to a better rate, prob less than 5%.    Have you checked around with any local banks or CUs ?

How much are your current payments and what was the original loan amount on your truck ?    In order to know if it makes sense we'll need to look at the amount of interest that you have left to pay on your existing loan vs what you would pay with a refinanced loan.

[ssdc1980]

I have one 30 past due on my loan from 2 years ago, but every payment before and every payment since have been on time. Original amount financed was around $25,500 and my payments are $579 a month. I haven't checked around with any local banks. I wanted to see what people who know far more than me about this stuff had to say first. I do the majority of my banking with Wells Fargo but that's not who my loan is through.

[cassie3783]

I would try to get a refinance through a local Credit Union.

I just recently refinanced my car through my Credit Union that I have accounts w/ and got the interest rate dropped from an 8 to a 3 and cut a little over a year off my payments.

Granted, my payments are actually about $50 more a month, but that was a personal choice I made when I chose to refinance for 36 months as opposed to 48 or 60.

I'm not too sure what my credit scores were when I first bought the car brand new in May of last year, but when I refinanced, Equifax (who my CU used) was 680.

Also, I never had my late payments on my car loan so IDK how that will affect your refinancing process.  Surely not too much considering they were 2 years ago & you've been current since.

[ssdc1980]

Thanks for the suggestions I'll give it a shot.

[Anonymous]

i have a transunion score of 587 and got approval for capitalone auto refinance at 10% and roadloans at 16.5%. I had $16,000 left on a 2011 malibu. I would try several different place and go with the best quote. It doesn't hurt your credit if you do all with in 1 week. I have an unpaid medical collection and credit unions usally won't talk to you if you have a collection

[pizzadude]

Looks like you have about $2,200 of interest left on your existing payments.    If you were to refi at 4% or even 5% for 36 or 24 months you'd pay less interest, you could keep paying the same each month and knock it out even sooner.  

[ssdc1980]

Today I went down to a local credit union and asked about a refinance as a couple of you suggested and was approved for a refi @ 3%. So of course I signed as fast as I could. Not only did it lower my monthly payment but it also saved me a couple thousand dollars over the course of the loan.

Im so grateful for all the help, thank you everybody.

[pizzadude]

Wow, that's great !!   Congrats on the refi and on saving thousands in interest !!