Is It Time to Refinance Your Car Loan?

Refinancing your car loan means replacing your current loan with a new one, usually to get a lower interest rate or a monthly payment that fits your budget better. It is often worth a look if rates have come down since you bought your car, your credit has improved, or you financed at the dealership without shopping around. Here is how to tell, in plain terms.

When refinancing your car loan makes sense

• Your credit has improved. If your credit score is higher than it was when you took out the loan, you may qualify for a better rate now.
• Rates are lower than when you financed. Even a small rate drop can add up over the life of a loan.
• You want a lower monthly payment. A new loan can free up room in your monthly budget.
• You took the first offer at the dealership. Dealer financing is convenient, but it is not always the best rate available to you.

When it may not be worth it

• You are almost done paying. Near the end of a loan, most of your interest is already paid.
• Your current loan has a prepayment penalty. Check your contract before you apply.
• A longer term costs more overall. Stretching the loan out lowers the payment, but you may pay more interest in total.
• You owe more than the car is worth. This can make refinancing harder.

How refinancing with Kinetic works

1. Apply.

2. Kinetic reviews your application. Once you are approved, Kinetic pays off your current lender. 

3. Start your new payment with Kinetic. 

Kinetic's auto refinance offer

Bring your auto loan from another lender to Kinetic Credit Union and earn $100, plus enjoy no payments for 60 days.

See the details on the Auto Refinance Program page: https://www.kineticcu.com/auto-refinance-program

Ready to see what you could save?

Start on the Auto Refinance Program page or call Kinetic Credit Union at 706.320.8500.