Getting an auto loan refinance can yield a great deal of savings and benefits. With the proliferation of web-based lenders, it is relatively easy to find ultra-competitive auto refinance loans. All that is needed, is for you to fill out some online applications, which will only take a few minutes each, and you will have creditors lining up with great offers in order to get your business. Just look below at some of the possible rewards you’ll gain by refinancing your auto loan.
A Lower Rate of Interest
For many reasons, it is very common for people to get stuck paying a ridiculously high interest rate on their auto loans. Some lending companies can charge 20% or more! This can be the result of financing at a time when general federal interest rates were high, bad credit, or even being suckered into a bad deal. Go over your loan documents or call your auto loan company to find out what rate of interest you are currently paying. If you are paying interest in the double digits, you may want to look into some auto refinance loans with different companies. If you can get pre-approved with them, why pay more on your auto loan than you have to?
Lower Monthly Car Bills
Taking from our example above, the real benefit to paying lower interest is lower monthly payments. For instance, if you are paying 20% on a $ 10,000.00, 4 year car loan, the monthly payments would be approximately $ 304.00. If you refinance at an interest rate of 10% (very achievable for most people) on the same loan, the monthly payments would be approximately $ 254.00. That’s around $ 600.00 in savings per year…..
Or, see how much money you can save by refinancing with the auto refinance calculator found at http://autorefinancecalculator.org