Showing results for 
Search instead for 
Did you mean: 

Refinance now or wait?

Frequent Contributor

Refinance now or wait?

It's been a long time since I've posted, but could sure use some advice.  I recently sold my truck and paid my credit cards down from total utilization of 88% to around 7%.  The payments have not hit my credit report yet.  They should all show by the end of the month.  My utilization was the only "baddie" I had on my reports.  Average age of accounts prior to this loan was 11 years. I have 6 cards with total credit limits of $57,000, a personal loan with a $3000 balance, and about $15,000 in student loans (which I brought out of default back in 2014)


When I sold the truck, I bought a 2020 Ford Escape.  Because of my credit card utilization, I didn't get a great deal on financing the car.  $29,000 @8.49% through the dealer.  As I needed a vehicle and there weren't a lot of options to choose from, I took the deal.  My first payment is 8/19/2022 with TD Bank.  I added Gap and  extended warranty to the loan.  Scores were EX 690, EQ 693 and TU 669 at the time.


I don't have money for another down payment to refinance right now.  My scores should rise to the upper 700's to low 800's when everything reports this month based on EX simulators.

My questions are:  Should I talk to TD Bank prior to the start of payments to see if they will negotiate my interest rate based on updated scores? Should I try to refinance with my credit union once I get the account number and before payments start?  Should I just make my payments for 6 months and then try to refinance?


Thanks in advance!


Message 1 of 3
Established Contributor

Re: Refinance now or wait?

Some credit unions and banks will refinance with no money down sometimes 100 - 125% of the cars value. Do some research you should be able to check with DCU, Penfed, BofA etc. My scores are lower than yours and i refinanced at 5.45%.

Chase Freedom Flex : $7500 | Discover It Chrome : $3500 | AmEx CS Investor : $6000 | Chase Sapphire Preferred : $5000 | Chase Amazon Prime : $500 | AmEx Hilton Surpass : $1000 | AmEx Business Plus : $2000 | AmEx Platinum CS : POT $4500 | Tower Federal CU : $10,000
Total Credit Limit : $40000
Experian FICO 8 : 677 | Experian Vantage : 696 | TransUnion FICO 8 : 682 | TransUnion Vantage : 698
Starting Score: 512
Current Score: 682
Goal Score: 700+

Take the myFICO Fitness Challenge
Message 2 of 3
Frequent Contributor

Re: Refinance now or wait?

I agree credit unions are awesome 👌 

Message 3 of 3
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.