November 5, 2023

Refinancing Your Car


It’s always a good time to consider refinancing a loan – especially if you’ve worked hard to boost your credit score for a better rate. If you owe on a car loan, here are five reasons you should seriously consider refinancing this season: 

  1. Lower monthly payments: When you get a lower interest rate on your loan, your monthly payments will be lower. This frees up more cash flow for other expenses or savings.

  2. Pay off the loan faster: With lower interest, more of your monthly payment goes toward paying down the principal balance rather than interest. This can help you pay off the loan sooner.

  3. Save thousands in interest: Even a 1% lower interest rate on a large loan can save you thousands in total interest paid over the life of the loan. Now that’s impressive!

  4. More money for other financial goals: The money you save on interest payments can be put toward other financial goals, like saving for retirement, children's education, or building an emergency fund.

  5. Potentially increase your credit score over time: Faster loan payoff and a lower balance can positively impact your credit utilization ratio and average age of accounts, leading to a higher credit score. 


Savings are pretty magical, right? Take a look at your car loan and see if refinancing is your next money move. Good luck!


What’s your next money move? Follow us.


Return to Blog Menu

Cookies help us improve your website experience.
By using our website, you agree to our use of cookies.