Overhaulin'

how to get a lower interest rate on my car loan?

I finance a 2004 mustang gt and I am down to 5000 dollars on the loan the interest rate is 27% I am paying 310 a month. I know it will be hard to refinance. I just want to know if there are any options out there for me my credit score is a 614 it went up 20 points since I first finance the car.

Public Comments

1. It shouldn't be hard if your credit is that good. Go through your bank for the re fi. Or if your insurance agency is also a bank. Familiar customers get a good rate. Ask around, whats the worst that could happen? They say no?
2. your credit score is still to low-WOW-27%- You could try but in the mean time try to pay off this loan as soon as possible.
3. see if you can get a personal loan for less than 27% than pay the car off
4. You can't. Your car is worth no more than $2,000 and you owe $5,000 which means you have no collateral. No one is going to give an unsecured loan to someone with a 614 credit score. You had to be royally screwed when you bought the car but that's history.
5. I understand your concern, nobody should be burdened with a 27% interest rate. You must have really wanted that car to get taken for such a ride on that loan. But $310 a month is not a high car payment. You must have gone long term on that loan to get a reasonable monthly payment. Go to your bank or Credit Union and see if they will refi. You should have some equity in that car with only a $5000 balance. What you DO NOT want to do is increase the time it takes to pay off the loan. The additional interest you'll pay will erase any savings you might find with a lower interest rate.