Is your car loan weighing you down? Then it might be time to refinance!
Not sure? Any of these circumstances can make a refinance a good idea:
- Your credit score improves – If you’ve been on time with your loan payments for several months, your credit score has likely improved. Refinancing when you have a better score can drastically cut your interest rate.
- You didn’t shop around initially – If you’ve never shopped around for a car loan, do it now. Using the car dealer’s lender can mean being stuck with a rate that’s higher than what you’d get at the credit union.
- Your financial situation changes – If your finances have improved, you can shorten the life of your loan and pay more each month. If money is tight right now, consider refinancing to a longer-term loan for a lower monthly payment.
If you’re feeling stuck in your car loan, a refinance may be the answer!