Listen – you love your car, your car loves you. You go on long drives together, you know how she takes her fuel, she knows how you like your mirrors. It’s an age-old love story. BUT, she costs you a lot of money every month. It’s not going to be long before you start resenting her, and we all know where that leads… she’s heard the standard “it’s not me, it’s you” before, and truth be told she can’t stand the heartache again. As a seasoned auto relationship therapist, I’m here to tell you that you don’t have to resent her for all she’s costing you. Refinances are out there and they’re saving people thousands of dollars (and a lot of auto heartache)!
There are all sorts of reasons that a refinance could save you money. Maybe your credit score has gone up since you financed? Perhaps it’s been a few years and rates are simply lower now. A very common reason is that without getting preapproved and knowing your best rate going in, it’s possible that the dealer signed you up for a higher rate than you were qualified for. Even if you are a-ok with your car payment and have a good rate already, it’s at least worth inquiring to see how much you could be saving. Do you know how much refinancing can really save you? And just how easy it can be?
Let’s break it down with a couple examples:
- If you owe $25,000 at 6% and have 5 years left on your loan, refinancing at 3.5% would save you a whopping $1770! That’s $30 per month!
- If you owe $15,000 at 11% and have 4 years left on your loan, refinancing at 4.5% would save you a colossal $2280! That’s $45 per month!
- In the last 3 months alone, we have saved our members over $77,000 just by refinancing their autos and RVs!
A few other tips to keep in mind when considering a refinance:
- In most cases, refinances are very straight forward and can be completed quickly and with little hassle for you.
- There is no amount of time from the date of the original loan that you must wait to refinance. However, some lenders may charge a penalty for paying your loan off early, so be sure to find out first.
- The age of the vehicle or the value of the vehicle in comparison to the loan amount are a couple factors that can sometimes disqualify you for a refinance.
- Please feel free to call us anytime for a quick calculation of your potential savings, help getting a Kelley Blue Book value on your vehicle, or to help answer any questions you have about refinancing. The HelpYouThrive link from our website is also a great resource for information on all things auto.