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Refinance Your Existing Auto Loan through Your Credit Union, and Save Big

Posted by John Marino on May 5, 2017 8:31:00 AM

 

You could be wasting money every month on your car payment without even realizing it. That’s because you – like many other borrowers – may qualify for a much cheaper vehicle loan than you’ve currently got. Your credit union is the place to sort it all out.

There are three big reasons why many people are in this predicament:

First, it is often in car dealer’s best interest to sign you up for a high interest loan, even when you actually qualify for a low interest loan.

You see, dealer finance managers often receive incentive payments, (kickbacks), when they persuade customers to sign on to loans that bear higher interest that the best loan they qualify for based on credit score and other factors.

This results in many thousands of drivers paying more than they should.

The second reason for paying too much is that your credit-worthiness might have improved since you took out your original vehicle loan.

Just making timely payments on your installment loan will help to boost your credit score. Combine this with a general pay-down of debt and/or a raise in pay – and you just might now qualify for a loan that is substantially cheaper than the one you have.

The third reason you might be paying too much is really simple: your credit union could have gotten you a better deal all along. Credit unions often have the best deals on auto loans. If you didn’t shop your CU when you got your vehicle loan, there’s a good chance you’re paying too much.

Stop Paying Too Much: Refinance with Your Credit Union Today

If you are paying too much, there’s a simple solution: refinance your vehicle loan through your credit union.

Here’s how it works:

Go and see your CU, and find out if you qualify for a lower-interest vehicle loan

If you do, your CU will pay off your old loan, and open a new one on better terms.

You’ll save money every month. How much you save will depend on how much you’re borrowing, the old vs new interest rate and the term of the loan.

It’s not unusual for refinance customers to save anywhere from $20-$100 per month.

What are you waiting for? Go see your credit union today.

Topics: Car Value, Auto, Used Cars