When Should I Refinance My Car?
The reasons for car refinancing may vary. For example, if our credit profile has improved, the lender might offer better interest rates. Besides, if our credit profile has improved since we made the loan, we can save money through refinancing. Speaking of interests, their drop is a sign we should refinance our car loan.
On the other hand, we might just need some extra time. In that case, we might want to change the loan duration. For example, we can refinance a car loan and add an extra year to our term. The only downside is the rise in the overall loan payment.
Additionally, we might want to change the rate of our payment. An adjustable rate may be too irregular, so we might want to opt for a fixed rate, or vice-versa.