You can get auto to refinance loan rates in many ways. It’s easier than ever to compare rates, terms and policies in 2023. Before securing a new loan, you should take a look at your credit (FICO) score to get a better idea of how you stack up. Use AnnualCreditReport.com to get your free annual credit report from all three major reporting bureaus (Equifax, Experian and TransUnion).
Analyzing your credit score and history will help you estimate the rates for which you qualify. When you apply for a lower auto loan refinance rates, you will already have a general idea of what the lender can offer you. Continue reading to learn how to get an auto to refinance loan today.
The first step toward getting an auto refinance loan is to analyze your credit. Having a good credit score will not only make it easier to find lenders and get approved but will save you money in lower interest rates and better terms.
However, if you have bad credit, you may still be able to refinance your car loan. Generally, if you completed 6 to 12 months of payments in a timely way, a lender may take you up and approve your loan. Lenders have different gender requirements, so be sure to check with different companies. If you have a previous relationship with any specific bank or credit union, they may be open to helping you.
Once you determine that your credit is up to par, it’s time to start gathering essential documents for the application process. The documents you will need are similar to the ones required during the initial car loan process.
You typically need to have the following documents on hand:
- Tax return documents
- Proof of identity
- Proof of income
- Social Security Number (SSN)
- Vehicle information (i.e. any repairs you made since the initial purchase)
Next, begin searching for lenders and comparing auto loan refinance rates to find the best one available. In most cases, you won’t need to complete a full application process to get a quote. Most lenders provide free rate quotes using a simple calculator online. Most lenders offer free rate and quote calculators on their websites. Some lenders may do a soft credit check, which does not affect your credit score.
However, a full credit check will only be run during the final qualification and approval process once you choose a lender.
So, what are the best auto loan refinance lenders available in 2023? Here are a few of the most popular companies out there:
- Bank of America
- Consumer Credit Union
- Capital One
- Ally Clearance
- OpenRoad Lending