cancel
Showing results for 
Search instead for 
Did you mean: 

Refinancing Auto Loan - Best & Worst?

Auto Loans for ANY Credit Situation. Immediate Response.
Advertiser disclosure
Highlighted
New Visitor

Refinancing Auto Loan - Best & Worst?

Looking to refinance my 2015 Jeep Renegade. I bought it in 2016, when I was young, dumb, and stubborn (yes, I've grown a lot the past 3 years...), so please try your hardest not to judge me for what I'm about to tell you... 

 

Lender: Capital One

Orig Loan Amount: $22,169

Term: 73 Months

Interest: 20.66% APR 

Today's Payoff Amount: $13,757.14

Monthly Payment: $544.17 (although I always pay more, whether it's $550 or $600)

 

Needless to say, I'll be paying on this for what feels like the rest of my life. My poor credit (and lack of intelligence) lead me to this. I have built my credit up to Fair now, but just barely. I have already tried to refinance with Capital One, but they will not refinance if you're already a current borrower (new only). When should I try to refinance, and who do you recommend? Also, my FICO is a 618 atm. Should I wait until I build it a little more, orrrr what??? TIA

Success is a journey, not a destination.
Message 1 of 6
5 REPLIES 5
Established Member

Re: Refinancing Auto Loan - Best & Worst?

Congrats to starting on your journey to make smarter financial decisions! Unless you have a concerted plan to increase your credit over the next ~3 months, and you really think it's going to be, say, 680+ in the near-term, you should be able to save a lot by refinancing now. Your positive history with this car loan should make your auto specific credit score better than when you bought the Jeep.

 

If you're already a member of a credit union, start there. Lots of people on this forum have had success with DCU. I also like RateGenius (https://www.rategenius.com/) because they aggregate rates from lots of different credit unions, although just know that they will do a hard pull of your credit to show you rates. 

Message 2 of 6
New Visitor

Re: Refinancing Auto Loan - Best & Worst?

I do have a plan to keep working on it. I am current on my student loans and have multiple cards to help get me there (as long as I continue to pay and get my balance down). I am not a part of a credit union just yet, but plan to be in the near future. But how will a credit union help me?
Success is a journey, not a destination.
Message 3 of 6
Established Member

Re: Refinancing Auto Loan - Best & Worst?

Credit union rates are on average 2 bps lower than for banks or finance companies. They might be able to get you a lower rate on your car loan. 

Message 4 of 6
New Visitor

Re: Refinancing Auto Loan - Best & Worst?

So I've heard. I have a friend who works at one and I've been chatting with her here and there about getting an account soooo... we'll see!
Success is a journey, not a destination.
Message 5 of 6
Established Member

Re: Refinancing Auto Loan - Best & Worst?

Good luck, and keep us posted!

Message 6 of 6
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.