How to Compare Car Refinance Lenders
If you are considering refinancing your car, you are likely bombarded with refinancing offers. Every offer promises to be the best for you, in one way or another. So how do you compare lenders to find the best car loan refinancing for you?
It only takes three questions:
- Will I qualify?
- Will my car loan qualify?
- Who will give me the best terms?
You can use these questions whether your research is starting from scratch or you’re looking over other people’s prepared lists.
Will I Qualify?
When you are comparing car refinance lenders, you need to make sure you will qualify for their loans. Don’t assume you will qualify just because they sent you an invitation. Check out the eligibility requirements before considering a lender in too much detail.
Some lenders have credit limits you must meet to qualify for their loans. Make sure your credit meets the lender’s requirements. Another related limitation is income. Some lenders have income requirements you must meet to qualify for car loan refinancing.
Researching online, it’s easy to lose track of where car loan refinance lenders are located. Sometimes location matters, though, as not all lenders offer loans in all states.
If you want or need a cosigner, make sure this is acceptable, as not all car loan refinance lenders allow this.
Finally, some car loan refinance lenders require membership to their organization, especially if they’re a credit union.
Will My Car Loan Qualify?
Typically, restrictions are related to the age, value, and/or mileage of the car. If your car is too old, too depreciated or too high-mileage, some car loan refinance lenders simply won’t consider it. Some lenders might also have restrictions on the make of cars they will refinance.
Another big obstacle can be the amount of the loan. Lenders typically have a maximum and minimum amount of a loan that they will consider.
Who Will Give Me the Best Terms?
Now that you’ve eliminated all the lenders who won’t give you a loan, it’s time to figure out who among the rest will give you the best loan. When you’ve got your list of potential car loan refinancing lenders, it’s time to see which ones will give you the best terms.
Skim your list to find a lender that will give you the option of pre-applying for a loan with only a soft credit check. This can help you get a better sense of the terms you might get for car loan refinancing.
You will want to compare interest rates, of course. You might initially have applied because a lender said they had low interest rates. However, those rates might have been for people with higher credit ratings. Many lenders will accept people with a low credit rating, but they will charge them handsomely for the privilege. Don’t forget to consider fees, too. These may be rolled into your car loan refinancing, but you still want to take it into account, as it will impact your total cost.
Check out the loan terms the company offers. How long a loan term do they offer? Does the car loan refinancing lender offer cash-back financing?
Finally, consider the application process. Do you have to go into the bank? Do you get a personal loan consultant? Is the process cumbersome?
Consider iLending
When you look at the options for car loan refinancing lenders, we are confident that you will see iLending compares favorably. We are an especially good financing option for people with subprime credit. You will find good terms with us, and your personal loan consultant will help you find the best terms from the options available. Check out some savings stories form our clients to see how we offer life-changing car refinancing.
Please contact us today to start the process with a free online preapplication. Discover how easy car loan refinancing can be when you work with iLending.
What would you do with an extra $132* in your pocket?
