How long to refinance?

[Josh2942]

I recently went through a break up that made me go from 200K+ a year in income to just around 100k by myself. We have 3000 a month in car payments. A 2019 BMW M5 and a 2019 Mercedes C63s. I sold the Mercedes which was a lease that was 1350 a month and paid 10k in negative equity. for my Jaguar F-Type which was a finance and at 50k 6.99% interests @72 month. Mind you I had the BMW still on my report that which had 87k still owed on it from 105 at the start. Now my ex paid off the negative equity in the BMW and sold it recently. Should come off my report in February or March. I got the Jag back in November. My only debt is the Jag, 27k if a personal loan, 1500 on a student loan and 1% utilization on credit cards with 167,000 in total limits. My oldest account is 7 years my Average age of credit is 3.3 years. I have a collections for 1500 which I refuse to pay. It’s 3 years old and it really hasn’t affected me lately. When I got my FICO 8 from Goldman Sachs when I got the personal Loan it was a 758TU. My FICO 4 was in the low 700s. Plus I’m hoping to get a nice jump when the BMW comes off my report. My bill is 410 principal and 450 interests. I want to get that down to 3.5% if possible. Which is the best provider for refinancing and how long should I wait after the BMW comes off.

I also have 5 paid of auto loans in the last 7 years for additional data points

[mikesonthemend]

While waiting on the others to clear your report, learn what the book value of your keeper is. More equity will get better rate, even with high income and decent scores.

[Girlzilla88]

Regardless of what you decide your best shot at the biggest change is the 1 year mark from when you got the Jag (1-2 years) but 1 year for refi for sure.     So I would wait until Dec this year if you got it November last year.

[Josh2942]

Thanks for the advice my man. I will be buying a daily in cash soon and keep this car as my Weekend ride. Don’t plan on more than 5000 miles a year to maintain a decent amount of equity since the vast majority of the depreciation is over. The MSRP was 120 brand new. I’ve learned my lesson about buying new cars

[Josh2942]

Perfect advise. Ill wait till my 13th payment. Ill also try to build up some cash so I can refinance to maybe a 36 month term

[Kforce]

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@Josh2942 wrote:
My Jaguar F-Type which was a finance and at 50k / 6.99% / 72 month.
My only debt is the Jag
My bill is 410 principal and 450 interests.

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As others have said more equity will get you a better rate.

* As a side note you need to check your statements *

Your loan should have < $280 interest and  > $570  to principal.