Steps
- Start by contacting one of the credit reporting agencies to get your credit score. Experian[1], Transunion[2], and Equifax[3] are the three. It's best to see all three, but one will do. They are all about the same.
- Know that after you know your credit report and financial situation, there are three places to go for a refinanced loan.
- An auto loan refinance company. RateGenius, Lending Tree, and myAutoLoan are three that offer this service. Some do multiple and some just au*Your lien holder (if you like them still) to see if they are willing to cut you a deal.
- Your financial institution to see what they will offer. Credit Unions are best.
- Once you get the place figured out, they should take care of everything for you. A good institution will get you a great deal, tell you how much money you'll save, make sure you have the appropriate warranty and GAP insurance, and do all the title transfer for you.
Tips
- Start with your local credit union.
- Don't go to 20 lenders, that many inquiries is bad for your credit.
- Try a refinance company that will shop your application for you.
- Know your credit score before you do anything.
- Be ready to give proof of military connections or any other memberships.
- Don't just accept the first deal, wait to hear back from all the lenders.
Warnings
- If you have bad credit, this may not work as well for you.
- If you owe more than you make, the rate might not be as good.
Things You'll Need
- Your Vehicle Identification Number (VIN)
- o 17 letter/number combination easily found on your insurance card
- o Also called a serial number
- Your vehicle's current mileage
- Name of current lien holder
- Current loan information
- o Original amount financed
- o Current monthly payment
- o Date of first payment made
- o Length of term (i.e. 60 months)
- Make, model and style of your vehicle (i.e. Honda Accord EX)
- Phone number for employment verification (if employed)
- Social Security Number
Sources and Citations
- Refinancing Auto Loan Items Needed
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