The short answer is . . . not a dime. If you are looking to refinance a vehicle loan, you shouldn’t ever pay a lender fee or additional interest. But there are other things you must consider. Some lenders will extend the term of your loan in order to get the payment lower or they may have you cash out your equity. In these circumstances, you could end up owning more than you care is worth!
So, what should you look for when considering a refinance? Simply this: Is the interest rate your qualify for lower than your current loan rate. As long as there are no fees attached, go for it!
Follow these simple steps:
- Consider if this is the right financial move;
- Review your current loan rate and term;
- Check your credit score;
- Estimate your car’s value;
- Shop around for the best refi rate;
- Do the math! Will you save money each month;
- If yes, get your paperwork together and call CCFCU!
Be smart with your money and do the research. A refi might be right for you . . . and your wallet!
Auto Refinance . . . Just another way we are Present for You.
This post was written by Lisa Wyman