When To Refinance Car

An auto refinance is the process of applying for a new auto loan to pay off your existing auto loan hopefully with a better interest rate and better terms.

When to refinance car. You may be able to reduce your monthly payment and boost your total savings on interest over the life of the loan. You request refinancing by selecting a lender filling out some forms and applying the loan amount to pay off a previous car loan. You re more likely to get good terms if refinancing a newer car than you will be trying to refinance an older car. Pay less interest.

For instance a 2009 jetta is much easier to refinance than a 2001 camry because the value of the jetta is probably much higher than the value of the camry. The best reason to refinance. There s no fee to apply and you can help yourself to all of their helpful online tools once you are a member of the bank of america family. Refinancing your car loan is fast and easy and can put more money in your pocket.

If your credit score has improved or if interest rates have gone down since you first financed your car refinancing your auto loan could lower your monthly payment and save you money over. That lower rate assuming all other factors are equal means you pay less for your car after taking all of your borrowing costs into account. When you refinance your car you take on a new loan to pay off the balance on your current car loan. Refinancing a car loan involves taking on a new loan to pay off the balance of your existing car loan.

Auto loan preferred interest rate discount of 0 25 to 0 50 is based on reward tier and valid only for enrolled preferred rewards members or preferred rewards for wealth management clients at the time of auto loan application who obtain a bank of america auto purchase or refinance loan. When you refinance an auto loan you take out a new loan secured by your car and use the money to pay off the balance on your existing car loan. The actual difficult debt check will occur when you re pre qualified and pick a neighborhood lender to work with. The ability to borrow at a lower interest rate is a primary reason to refinance a loan.

Most of these loans are secured by a car and paid off in fixed monthly payments over a predetermined period of time usually a few years. If you opt for an auto loan refinance from bank of america you get a trusted financial institution and a decision in less time than it takes you to tie your shoes.