The answer to the question is whether you can refinance a car loan in the same bank depends. Although this is possible only from time to time, first contact the current lender if you are considering refinancing.
Refinancing is simply a process of replacing an existing loan with a new rate and / or deadline. Your current lender is a great place to start when you need to refinance a car loan. If you continue to pay and have a good reputation, they can consider refinancing your current loan.
However, your lender is not always in a position to do so. In those cases, you probably have other options that you can contact – especially if your credit has improved since the moment you initially took out your auto loan, or interest rates fell.
If you can not keep pace with your original lender, a good place to start refinancing is a credit union. If you are worried about bad loans, you can sometimes bypass it, especially if you are a member of a good reputation. Credit unions are usually easier to approve at a bank.
Another thing to consider is why you want to refinance.
It may be a good option to consider whether you want to keep the vehicle you have, and:
- The basic interest rate has fallen
- You want to reduce the monthly payment by extending the loan term
- So far, you have not received the lowest interest rate you are in
If these scenarios do not match the reason you want to refinance, you may need to consider more things before changing your car loan.
Instead of Refinancing
If you just want to pay off a car loan faster, you can simply pay more whenever you can achieve this goal, for example; if you are not specifically related to your vehicle and are looking for a loan with better conditions, why not take it into account? or sell it and take a new loan? If these options sound good, but you do not know where you’re going with bad loans, we’d like to help you.
Can I refinance my car with the same lender?
When refinancing your loan, it takes some time for your application to process and your new loan will come into force (in some cases up to 60 days). Since your first payment was not until then, you can end up very well if you do not have to pay in one or two months!
If you want to take cash in relation to the capital of your vehicle in order to deal with unexpected costs such as medical emergencies, job loss, etc., then you are seriously thinking about refinancing your loan.
If you want to move from leasing to owning a car, refinancing is a great way to make a transition.