Reasons To Refinance
Your Car Loan?
The top reasons to refinance a car loan are fairly simple and straightforward:
- Refinancing is free (with most major lenders)
- Refinancing only requires a small time commitment
- There are usually significant monthly savings
- There are usually significant long term savings
Your Car Loan
Here are five key reasons why you may want to take advantage of an auto refinance loan:
- To refinance the car dealers finance profit out of your monthly payments.
Yes, car dealership's can mark up your finance rate and profit substantially.
- Your current car is leased and you'd like to refinance to buy it out.
When your lease is up, you'll have two choices if you want to keep the vehicle, either pay cash for the residual (buyout amount) or refinance with a traditional auto loan.
- Your credit has improved over the course of your loan and you will now qualify for lower auto loan rates.
A well paid auto loan can work miracles to build / rebuild credit. Not to mention, any other improvements made to your credit file.
- You've always had good credit and available refinance rates are better than your current auto loan.
Auto refinance rates are currently very low, with automotive lenders aggressively competing for loans they feel are a "sure thing" and will bring stability to their portfolios.
- You want to use an auto refinance loan to remove a co signer from your existing auto loan.
- This is very common for first time buyers that have now had their existing loan for over one year.
- This would also apply to you if at the time of purchase you needed a co signer, but now have cleaned up your credit and are able to borrow on your own.
- In addition, this applies to a couple that is separating and now only one party is responsible for the loan payments.
Now that you know the reasons to refinance and some common reasons why refinancing your car may benefit you, all that's left to do is learn where to refinance...
Where to Refinance Your Car Loan
I personally recommend up2drive.com (BMW Bank of North America) as they are the actual lender and not simply a middle man. They have a quick and free application process and they have fast approvals.
They currently have some excellent rates for refinancing (One of the top reasons to refinance) and the only draw back (if you can call it that) is that they only tend to customers with above average to excellent credit. See for yourself what they have to offer - Apply today
To learn more about refinancing
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