Refinance Question

Anonymous · ‎08-18-2021

I recently had my vehicle refinanced and funded this week. Awaiting the payoff of my original loan.

Went from Ally in 2020 on a new vehicle around 10% interest rate payments at $518.

refinanced with BofA for a little over 4% interest rate and $349 payments.

as far as reporting goes, how will all of this affect my scores when the first loan reports paid and the new loan reports ? Just looking for a ballpark. Do they do dip quite a bit?

I know it's profile specific and YMMV.

Loquat · ‎08-19-2021

@Anonymous wrote:
I recently had my vehicle refinanced and funded this week. Awaiting the payoff of my original loan.

Went from Ally in 2020 on a new vehicle around 10% interest rate payments at $518.

refinanced with BofA for a little over 4% interest rate and $349 payments.

as far as reporting goes, how will all of this affect my scores when the first loan reports paid and the new loan reports ? Just looking for a ballpark. Do they do dip quite a bit?

I know it's profile specific and YMMV.

@Anonymous I think you may have answered your own question. As for the dip (if any) will be very much dependent upon your overall credit profile. Without any of us knowing what your reports look like, there's no way to give you a reasonable answer as to what you may be looking at score wise.

Anonymous · ‎08-19-2021

@Loquat

Scores are about 5-10 higher since my last update (haven't logged in via PC in a few days). One charge off auto Santander loan DOFD 5/2016. Reports $0 balance. A few 30/60 lates on EX and EQ from 2016 (same auto loan). Probably 6-10 scoreable INQ's varying across the 3 CRs. No mortgage or other installment loans. Most all my cards are reported at $0 and will be reported at $0. Util is still reported around 4% across all cards. AAoA 4 years 6 months. AoYA reporting 1 month. Payment history is 100% on TU and 94% on EX and EQ due to the 2016 lates. Two closed paid on full student loans at 100% payment history closed as of 2014.

can't quite think of anything else. No BK ever filed. No collections. No public records or repo's on CR's. No other missed payments aside from the 2016 Santander.

I guess I should have asked if I should expect a score dip x2. 1 dip for the loan going to paid in full and another dip when the new installment posts. I have a due date on the new loan in Septemer for my first payment. ALLY received the refi payment and the loan is at 100% PIF. However Ally hasn't even reported to any credit bureaus since June 9 and that loan was at 100% payment history.

thanks! I'm still learning