I currently have an auto loan with DCU at 3.49% and I have a preapproved refinance in my Loan Suite for 1.49%. When I click on the loan options, they ask if you're refinancing a loan with another institute or DCU so it appears that they allow it. My question is, has anyone done this before? Is there a catch or anything I should know about that I might not be considering?
My current loan is actually a refinance from the original lender (that was at 5.99%), so I know there won't be any HP, but I assume it will show up as a new loan. I'm still not really sure if I'll go through with it, but I did do that math and it will save me some money in interest. An added bonus is that it will lower my payments so that I can either save that money for other things, or continue making the same payments to save more interest and pay it off sooner. I'm just not sure I want a new loan reporting at 100% again.
