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Refinancing your Car Loan? How to refi with a Credit Union (Updated)

Tropical Financial Credit Union
By Tropical Financial Credit Union - June 15, 2024

Remember when you were young and dreamed of being an adult? There was something about making your own money, having a quaint apartment and enjoying that morning cup of coffee at your “real job,” that just sounded glamorous. Unfortunately, being an adult is not so glamorous. In fact, it’s hard, but to make it a bit easier check out how refinancing your auto loan with a credit union could eliminate some of the not-so-fun parts of being an adult, like reducing debt. 

african american man holding keys in florida car dealership

I want to explore financing options cta

Let’s start by explaining how refinancing an auto loan can help you.

One of the biggest parts of being an adult is paying bills. It’s not fun when you get paid on a Friday and have to watch the majority of your paycheck almost instantaneously leave your account. Refinancing your auto loan you allows you to extend terms, reduce payments and/or reduce the rate. Credit unions are generally known to offer lower rates which means less money coming out of your account on payday!

When should I take advantage of refinancing?

Normally, people refinance their auto loans when they have purchased their car, but either didn't receive the interest rate or payment they were originally looking for. Another good time people choose to take advantage of refinancing is when they have boosted their credit score. This plays a big role in qualifying for a more desirable rate. 

Wondering how the process works?

It’s pretty cut and dry. Just follow these 4 simple steps and you’ll be on your way to savingsready for a new ride let us help cta

Step 1: Collect important documents
Step 2: Apply (from mobile, desktop, tablet and even over-the-phone)
Step 3: Run numbers and evaluate terms
Step 4: Complete the process

Fun fact: some credit unions offer the ability to refinance from anywhere using your cellphone or tablet so you don’t have to wait to apply.

So, we can agree being an adult isn’t the most fun, but saving money to avoid FOMO (fear of missing out) on the fun things is. If you’re considering refinancing your auto loan our advice doesn’t stop here. Check out some more helpful info when it comes to refinancing your ride.

TFCU quick guide to auto refi