Saving money by refinancing an auto loan is one of the best kept secrets. Most people don’t even think about refinancing their auto loan. This is how it works; you refinance your auto loan with a different lender that has a lower rate than your current loan. By refinancing your auto loan you can save hundreds of dollars in interest and even lower your monthly payment.
When shopping for a new auto, many people simply pick out a car and let the dealer do the rest, including the financing. Although this may save you time, you probably didn’t get the best possible rate. Dealers typically mark up the interest rate so they can make more money on the deal. That means refinancing your auto loan could really pay off.
It’s really quite easy to refinance an auto loan. Start by visiting your credit union, bank, or using the internet to find a lender that offers the best rates and terms for you. You may qualify for a lower interest rate, which can make a big difference over the life of the loan. Make sure there is no pre-payment penalty on your current loan and find out from the new lender if there are any fees involved in refinancing your loan. Once you have determined if refinancing is right for you, you should be able to refinance your loan within one or two business days.
By saving money on your auto loan, you may have some extra cash to help manage your monthly budget. Metro has helped thousands of people refinance their auto loans, to check out Metro’s current auto loan rates, visit metrocu.org.