What is an auto refinance loan?
An auto refinance loan is similar to a mortgage refinance and will pay off your current car loan, replacing the interest rate. It can also replace the term with better conditions for the borrower. It can be a fast and simple process. Once the borrower is approved for the auto refinance loan, the new lender pays off the old loan and the old lender transfers the title to the new one. Why Refinance my Auto Loan? Many reasons can factor in to the refinance of a current auto loan, the most common of which is getting a lower interest rate and/or to lower monthly payments. Lowering the interest rate but keeping the same terms on the new auto loan will also reduce the total interest paid over the course of the loan. However, if the borrower chooses to go with a lower payment but extend the term of the loan, it could increase the total interest paid over the term of the loan. How Much can I Save? This amount will depend on how much you still owe on the remainder of the current loan, the differe
