When to Consider Refinancing

Refinancing your auto loan can be a smart move if your financial situation has changed or if better loan terms are now within reach. But how do you know when it’s the right time to make a switch? Let’s explore some signs that refinancing could save you money and improve your financial well-being.

Sometimes, a little adjustment can make a big difference. Here are some scenarios where refinancing your auto loan might be worth considering:

• Improved Credit Score: If your credit score has improved since you first took out your loan, you may qualify for a lower interest rate.

• Falling Interest Rates: If the market’s current rates are lower than when you secured your original loan, refinancing could help reduce your monthly payments.

• Need for Lower Monthly Payments: Extending your loan term through refinancing can lower your monthly payments, giving you more breathing room in your budget.

• Better Loan Terms Available: If you’ve found a lender offering better terms, like no prepayment penalties or more flexible payment schedules, refinancing might be a smart move.

• Changing Financial Situation: If your financial outlook has changed, refinancing could help you manage your loan more comfortably.

Making Your Move

If any of these situations sound familiar, it might be time to explore refinancing your auto loan. At FASNY FCU, we’re here to help you find the option that works best for you. Ready to see what’s possible?