How Long Does it Take to Refinance a Car?
If you’ve been struggling with excessive car payments, then refinancing your car loan may be a good option to consider. Car refinance can provide significant benefits, including a lower interest rate and lower monthly payments. Often, the money saved each month with your lower payments can be instrumental in helping you pay the rest of your bills.
It’s understandable that you may be wondering how long it takes to refinance your car. After all, if you’re having trouble paying your bills, the sooner you start saving money, the better. The good news is the car loan refinance process can be completed rather quickly. In general, it can take between two hours and two weeks to refinance your car loan.
The exact length of time it takes to refinance depends on how prepared you are prior to applying and the financial institution giving you the loan. Some lenders are able to process your application within a few hours, while others prefer to take more time to conduct a thorough assessment of your application.
Keep in mind that a faster approval isn’t always ideal. Often, a very fast approval may come with higher fees, while a slower approval process may allow you to unlock better interest rates.
How to Speed Up the Auto Refinancing Process
While the lender will be the primary factor dictating how long it takes to refinance your car, there are steps you can take to make the process go as fast as possible. The more organized you are before applying, the more smoothly the process will go.
Make sure you gather all necessary documentation in advance. This includes:
- Driver’s license
- Proof of insurance
- Vehicle title
- Vehicle registration
- Photo of your odometer reading
- Proof of residency
- Proof of income
- Credit history
- Proof of employment
To make the document upload process go quickly and smoothly, it’s best to digitize these documents if possible.
Benefits of Refinancing Your Car Loan
Benefits of Refinancing Your Car Loan
Refinancing your car loan can provide a variety of important benefits, including:
- Lower your interest rate – One of the primary reasons to refinance is to lower your interest rate. This is often possible if your credit score has improved since you purchased the car or if you failed to shop around for the best terms when you took out your existing loan.
- Lower your monthly payments – You can often lower your monthly payments to infuse additional cash into your budget. This can happen in two ways. You can lower your payments with by receiving a lower interest rate for the same loan term as your existing loan. You can also extend your loan term to lower your monthly payment, but in this situation you will pay more money over the lifetime of the loan.
- Skip a payment or two – In most instances, you should be able to skip a payment or two while the new car loan is processing and your existing loan is paid off. This can infuse a significant amount of extra money into your budget for those months, allowing you to get caught up on bills or pay down other debt.
iLending Makes Car Loan Refinance Easy and Hassle Free
If you’re considering refinancing your car loan, iLending can help. Our exclusive You First Approach™ makes refinancing easy and hassle free.
With our unique approach, you’ll be paired with a loan consultant who will take the time to get to know you and understand your refinancing goals. Your loan consultant will then compare loans for you using our network of over 50 nationwide lenders to identify the best options that align with your specific goals. These options will be reviewed with you, you’ll have the opportunity to ask any questions you may have, and your loan consultant will then recommend the best loan for your needs.
Once you’ve decided on a loan, our team will handle everything for you. We fill out all paperwork and even follow up with your existing lender to ensure payment of this loan is handled properly. With our You First Approach™, you have peace of mind that the entire car loan refinance process is handled correctly, and that you receive the best possible terms based on your goals.
On average, iLending customers save $143 per month when they refinance their car with us. This monthly savings can help you manage your budget more effectively and make it easier to pay your bills.
Apply now to get the car loan refinance process started.
What would you do with an extra $132* in your pocket?
