by Susan Paige
So you want to refinance your car, again.
Is it possible? How many times can you refinance your car anyway? Is there a limit?
When you’re tight on cash or if you want to get a better interest rate on your car, you might be trying to refinance your vehicle. Continue reading this article and learn how many times you can refinance your car as well as when it makes sense to do so.
The Options Are Limitless
As long as you can find a lender that is willing to refinance your car, you can refinance it as much as you want. There are some things you should think about before you do this and sometimes you might not have enough equity in your car to get a bank to approve you.
If you can’t get a bank to approve you, you might look into car title loans to get help getting out of a bind.
When It Might Be a Good Idea to Refinance Your Car
There are some important things to consider before you refinance your car. If you refinance your car at the wrong time, you might end up paying more than you want to in the long-run.
You’ve Improved Your Credit
If you’ve been working on improving your credit and you’ve been able to raise your score a hundred or so points, first off — congrats! Having a significantly higher credit score means you likely could get approved for a loan with more attractive terms.
Make sure the fees that you’re going to pay don’t cost you more than the amount that you’re going to pay in interest throughout the term of your loan before you do decide to refinance.
You Need Lower Payments
If you’re having a hard time making your payments, you may be able to refinance your car and get lower payments. If you can get a lower interest rate or a longer-term then your payments could be significantly lower than what you’re paying right now.
If you have a good relationship with your current lender, they might be able to help you. Otherwise, you’ll have to work with a new lender to make this happen.
Promotional Interest Rate Offer
Some lenders might put out a promotional interest rate offer to get you to switch your loan. These interest rates can be very attractive but make sure to read their terms fully to make sure you won’t come out owing more in the end.
How Many Times Can You Refinance Your Car? – Now You Know
Now you know the answer to “How many times can you refinance your car?” and it’s time to make the decision of whether it’s the right time to do so or not. Before you head out to refinance, why not stop by one of our other blogs?
We have many other articles that can help you as you’re learning about finances and life in general. Browse our site, find a favorite section, drop a bookmark and come back again soon.