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How to lower interest ?

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New Visitor

How to lower interest ?

Hi, I’m paying 155 a month on interest for a vehicle I purchased two months ago.
Im thinking about refinancing and give a down payment, trade it in and give a down payment on the new vehicle and adding a co signer.
What are my options to lower the amount of interest I will be paying in the long run?
4 REPLIES 4
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Established Contributor

Re: How to lower interest ?


@Xtrigga wrote:
Hi, I’m paying 155 a month on interest for a vehicle I purchased two months ago.
Im thinking about refinancing and give a down payment, trade it in and give a down payment on the new vehicle and adding a co signer.
What are my options to lower the amount of interest I will be paying in the long run?

You've pretty much answered you own question, and I'm not sure what you want from us.  Obviously, a co-signer would be a good idea.  You don't give us any data points about your situation, but I have to assume your credit is fairly poor for you to be paying a high interest rate.  You also don't say if this is a new car or not, but if it is then the moment you drove it off the lot it lost a considerable amount of value and may make refinancing at this point more difficult.  

 

More questions to help us help you:

 

Did you put money down?

What is your interest rate?

What is your known credit ratings?  (the lender is required to provide your FICO that they based your approval on)

What kind of car?  Year?  Current miles?  Condition?

 




Message 2 of 5
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New Visitor

Re: How to lower interest ?

Yeah, I kinda did answer my own question. I was just trying to see if there was anything else I could try.

Sorry,
Did you put money down? No money down
What is your interest rate? 6. Something can’t remember off the top of my head
What is your known credit ratings? 664
What kind of car? GMC Sierra 1500
Year: 2017
Current miles: 36500
Condition: used
Im paying 553/month with the 150 going toward interest.
Total loan amount after taxes and fees is $33,500
Message 3 of 5
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Valued Contributor

Re: How to lower interest ?

6% is actually quite decent on a used car loan. I'd personally leave cosigners out of it. Too many opportunities for relationship strain and intermingling financial problems. Work on getting your score up and see what refinancing options are available down the road. 

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Message 4 of 5
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Established Contributor

Re: How to lower interest ?

That said, he could get 1.99% or lower up to 60 months from many of captive lenders (:Ford Credit, etc) on a new truck.

 

 Worried about a 6% car loan? First World problems .

Message 5 of 5
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