Attention Financial Gurus

[aglio412]

my girlfriend wants to refinance her car to lower the payments...i know NOTHING about this and she's in the dark about it as well.

anybody out there do this before?

any insight would be greatly appreciated.

[topane]

If the loan is fairly new, she'll probably end up paying more depending on the break in interest rate, new loan term, how far along she was, etc. I'd pull out a calculator and figure it out. Refinancing should be used to reduce interest payments over the life of a loan, not incur more debt.

[fakesurfers]

Not a lot of banks will refi on a car loan, especially a used one.

[Two Cents]

If she has other loans, she could try to consolidate all her debt. Otherwise, it IS hard to refinance a car, and unless the car was moola expensive, even getting a lower rate may not affect monthly payments much. Really, the only way to lower the payments appreciably is to lengthen the term, and that is hard to get for a car loan, and you would be increasing your total interest payment in the long run.

[Markel]

Originally posted by Two Cents
If she has other loans, she could try to consolidate all her debt. Otherwise, it IS hard to refinance a car, and unless the car was moola expensive, even getting a lower rate may not affect monthly payments much. Really, the only way to lower the payments appreciably is to lengthen the term, and that is hard to get for a car loan, and you would be increasing your total interest payment in the long run.
I'm glad you contributed your two cents worth to this financial topic. :heh:

[Two Cents]

Originally posted by Markel

I'm glad you contributed your two cents worth to this financial topic. :heh:

:P :heh: