I have been snopping around this forum for about 2 months now and have learned so many new things and finally decided it was time to officially join the website! In regards to my question, any help/advice would really help me out. I had no prior knowledge in car loans and decided very stupidly to get a car without researching further. I financed a used 2016 F-150 Truck through FMC at the time of this loan my credit was not good at all and received an interest rate of 17% ( I know :'( ). Two years later, my credit has risen by more than 100 points and I need to refinance. I have tried through FMC but they say its computer generated and only want to lower my payments by $40 and lower my interest to 13%, I don't feel it's worth it though. What should I do? I have read about credit unions being a great help but how should I go about the process? What should I expect as a "good" interest rate with my current scores, (TU- 700, EXP-675, EQ- No idea). If you need further information let me know because I probably am leaving out key information that I might not even know about or can't think of in the moment. Thank you so much for your time!
Since FMC is the captive lender, it makes sense that they would not want to lower or refi your truck.
I would approach your own bank or local CU - they have very good rates.
My car is up for lease expiration and I am going to buy it out by financing the residual thru my CU.
I checked with PenFed and my local CU - they are offering around 2.25-2.75% for 3 years with a 720+ score.
I would start by looking at DCU and Penfed.
yep.....pen fed helped me out when i was in same boat as you.....DCU is another one i have heard, Navy is top notch but rates are bit higher in my experience
alot of banks that "will" refinance an existing loan seem to not offer competitive rates like a new bank.....alot wont do it all but some will, just not worth it for them i suppose since they already have your loan
get out of that 17% as quick as you can!......i had same scenario and refied down to 8% 6 months later and 6 months after that i am at 3%.......interest rate is key