Auto Loan Factory

Refinance Car Loan – How To Benefit From An Auto Loan
Refinancing
By Carrie Reeder

Although auto loan refinancing is a great way to lower car
payments and save money, few people consider this option. Car
buyers refinance their auto loans for several reasons. Is the
current interest rate or APR high? Maybe you accepted a bad car
loan because of a dealership's scam. Whatever the reason,
refinancing an auto loan is perfect for lowering payments and
paying off the car sooner.

How Auto Loan Refi's Work

Auto loan refinancing is similar to refinancing a home loan. In
a nutshell, automobile owners apply for a new auto loan to
replace the existing. The new lender will payoff the old loan,
and you begin making monthly payments to them. The concept and
process is very simple. Yet, few people take advantage of auto
loan refinancing.

Some auto loan buyers are unaware of auto loan refinancing.
However, if bad credit resulted in a high interest rate, it may
be possible to lower that rate without extending the loan term.
The money you save can be used to payoff credit cards or build
a cash reserve.

Choosing a Refinance Car Loan Lender

Many auto loan lenders offer refinancing. However, if choosing
to refinance for a lower rate, you are required to apply with a
new lender. Existing auto lenders are unable to refinance the
auto loan. Finding a new lender is simple. To begin, you may
contact your credit union or bank and request information on
auto loans. Some may even offer a no-obligation quote.

Next, complete an online quote request with an online auto loan
broker. This is one of the easiest methods for locating a
reputable auto loan lender. Besides, brokers will provide you
with up to three different offers. If refinancing to get the
lowest possible rate, multiple offers is a huge plus because
they allow quick and easy loan comparisons.

Auto Loan Refinancing Requirements

Before applying for a new loan, vehicles must qualify for a
refinancing. In order to refinance a car loan, you must owe
more than $7500. Secondly, the name on the auto loan
refinancing application must be the same as the name on the
original auto loan. Most importantly, for an auto loan refi
approval, the amount owed on the car cannot exceed the value.

About the Author: Go to
http://www.abcloanguide.com/autoloanrefinance.shtml for a
Refinance Car Loan. ABC Loan Guide's lenders are reputable and
competitive in their rates.

Source: http://www.isnare.com