Top Auto Loan Refinancing Lenders
What is auto loan refinancing, and where is the best place to apply?
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When you refinance a car loan, you replace your current auto loan with one that lowers your interest rate, reduces your monthly payment or cuts the total amount you pay for a car — or possibly all three.
Whether you qualify to refinance your car and at what interest rate depends on many factors, such as your credit history and credit scores. It also depends on where you apply to refinance, because auto refinance requirements vary by lender.
NerdWallet's auto loan refinancing calculator can help you compare lender offers and determine the best place to refinance your car loan.
Want to refinance your auto loan? See if you pre-qualify.
Top Auto Loan Refinancing Lenders
Lender | NerdWallet Rating | Est. APR | Loan amount | Min. credit score | Learn more |
|---|---|---|---|---|---|
3.5 /5 | 4.54-21.99% | $5,000-$100,000 | 580 | Learn moreon RefiJet's website on RefiJet's website | |
 Consumers Credit Union - Refinance loan Learn moreon Consumers Credit Union's website on Consumers Credit Union's website | 4.0 /5 | 5.94-21.24% | $7,500-$500,000 | 620 | Learn moreon Consumers Credit Union's website on Consumers Credit Union's website |
5.0 /5 | 5.49-21.99% | $5,000-$100,000 | 575 | Learn moreon MyAutoloan's website on MyAutoloan's website |
Our pick for
Refinancing through loan aggregators
Aggregators connect prospective borrowers with a network of auto lenders, usually resulting in more than one loan offer. We evaluate them using different criteria than direct lenders.
RefiJet - Refinance loan
4.54-21.99%
$5,000-$100,000
580
- Offers pre-qualification with a soft credit check.
- Some network lenders offer rate discount with automatic payment.
- Available in all states.
- Customer service available on Saturday.
- Provides Spanish version of website.
- Charges an origination fee of up to $495.
- Fully online application not available for applicants who prefer it.
- Minimum annual gross income: No minimum.
- Maximum debt-to-income ratio: 70%.
- No open or discharged bankruptcies in last 12 months.
- Maximum mileage: 150,000.
- Maximum loan to value ratio: 160%.
MyAutoloan - Refinance loan
5.49-21.99%
$5,000-$100,000
575
- Applicants can receive up to four lender matches with a soft credit check.
- Most lenders can provide approval within 30 seconds of application submission.
- Provides lowest daily rates on site, including auto refinance loans.
- Funds to pay off previous lender usually available within 24 hours.
- Allows co-signers.
- May result in multiple contacts from different lenders.
- Social Security number required to submit initial application.
- myAutoloan.com offers limited customer service support.
- Not available in a few states.
- Minimum annual gross income: $21,600.
- Maximum debt-to-income ratio: Not provided.
- Bankruptcy-related restrictions: Bankruptcy must be discharged or dismissed.
- Maximum mileage: 125,000.
- Maximum loan to value ratio: Not provided.
Tresl - Refinance loan
4.67-23.80%
$8,000-No max.
550
- Applicants work with a dedicated advisor throughout the refinancing process.
- Most lending partners pre-qualify using a soft credit check.
- Applicants typically receive multiple pre-qualification offers.
- Network lenders offer a rate discount with automatic payment.
- A Social Security number is not required to see pre-qualified offers.
- Most lenders charge an origination fee of up to $495.
- A few network lenders may use a hard credit inquiry for pre-qualification.
- Borrowers aren’t able to choose their payment due date.
- Minimum annual gross income: All network lenders have a minimum. The lowest is $30,000.
- Maximum debt-to-income ratio: 60%.
- Bankruptcy restrictions: Nearly all network lenders have bankruptcy restrictions, but details were not disclosed.
- Maximum mileage: 150,000.
- Maximum loan-to-value ratio: 150%.
Auto Approve – Refinance loan
5.24-24.99%
$10,000-$150,000
640
- Offers pre-qualification with a soft credit check.
- Some network lenders offer a rate discount with automatic payment.
- Available in all states.
- Co-borrowers or co-signers are allowed in nearly all cases.
- Charges an origination fee of up to $550.
- Application is not fully online. Some verification done by phone.
- Minimum annual gross income: All network lenders have a minimum. The lowest is $24,000.
- Maximum debt-to-income ratio: 50%.
- Bankruptcy restrictions: Has restrictions. Details not disclosed.
- Maximum mileage: Varies by lender, but all allow at least 100,000 miles.
- Maximum loan-to-value ratio: 140%.
Caribou - Refinance loan
6.47-28.55%
$10,000-$125,000
620
- Applicants can pre-qualify with a soft credit check.
- Application process 100% online including document upload.
- Social Security number not required to see pre-qualified offers.
- Works with a network of lenders to show multiple offers.
- Charges an origination/processing fee of $399.
- Not available in all states.
- Customer support not available on weekends.
- Minimum annual gross income: Has minimum. Amount not disclosed.
- Maximum debt-to-income ratio: 60%.
- Bankruptcy restrictions: Has restrictions. Details not disclosed.
- Maximum mileage: 125,000 miles gas/175,000 diesel.
- Maximum loan to value ratio: 145%.
RateGenius - Refinance loan
4.67-23.80%
$8,000-No max.
550
- Provides average daily rates by credit score on website.
- Network lenders offer a rate discount with automatic payment.
- Most lending partners pre-qualify using a soft credit check.
- Customer service available on Saturday.
- A Social Security number is not required to see pre-qualified offers.
- Most lenders charge an origination fee of up to $495.
- A few network lenders may use a hard credit inquiry for pre-qualification.
- Borrowers aren’t able to choose their payment due date.
- Minimum annual gross income: All network lenders have a minimum. The lowest is $30,000.
- Maximum debt-to-income ratio: 60%.
- Bankruptcy restrictions: Nearly all network lenders have bankruptcy restrictions, but details were not disclosed.
- Maximum mileage: 150,000.
- Maximum loan-to-value ratio: 150%.
Gravity Lending - Refinance loan
5.74-14.99%
$10,000-$200,000
580
- Majority of lending partners offer rate discount with automatic payment.
- Social Security number not required to pre-qualify.
- No origination or application fees.
- Applicants can delay payment for up to 90 days after approval.
- Applicant does not see pre-qualified rates. If applicant is matched to a lender, application is automatically sent to partner for approval via a hard credit check.
- No special programs or flexible requirements for first-time car buyers.
- Minimum annual gross income: $24,000.
- Maximum debt-to-income ratio: 60%.
- Bankruptcy restrictions: Minimum 2-year discharge.
- Maximum loan-to-value ratio: 150%.
Upstart - Refinance loan
9.26-29.99%
$5,000-$60,000
510
- Offers pre-qualification with a soft credit check.
- Works with a network of lenders to find the best offer.
- Does not charge an origination fee.
- Bases loan approval on a wider range of criteria.
- Fully online application.
- Customer service available on Saturdays
- Provides Spanish version of website.
- Not available in all states.
- No co-borrowers or co-signers allowed.
- No APR rate discount with automatic payment.
- Minimum annual gross income: $12,000.
- Maximum debt-to-income ratio: Did not disclose.
- No bankruptcy-related restrictions.
- Maximum mileage: 140,000.
- Maximum loan to value ratio: 185%.
Autopay - Refinance loan
4.67-23.80%
$8,000-No max.
560
- Offers pre-qualification with a soft credit check with most lenders.
- Fully online application available.
- Allows co-borrowers and co-signers.
- Some lenders offer rate discount with automatic payment.
- Available in all states. Customer service available on weekends.
- Most lenders charge an origination fee of up to $495.
- A few network lenders may use a hard credit inquiry for pre-qualification.
- Borrowers aren’t able to choose their payment due date.
- Minimum annual gross income: Varies by lender.
- Maximum debt-to-income ratio: 50%.
- Bankruptcy restrictions: Most lenders have restrictions, but they vary by lender.
- Maximum mileage: 150,000.
- Maximum loan to value ratio: 150%.
iLending - Refinance loan
5.49-22.00%
$7,500-$150,000
560
- Offers pre-qualification with a soft credit check.
- Application process is 100% online, including document upload.
- Customer service is available on Saturday and Sunday.
- Some of the network's lenders offer a rate discount with automatic payment.
- Charges an origination/application fee of $449.
- Borrowers aren’t able to choose the loan payment due date.
- Minimum annual gross income: All network lenders have a minimum. The lowest is $21,600.
- Maximum debt-to-income ratio: 50%.
- Bankruptcy restrictions: Nearly all of iLending's partners have bankruptcy-related restrictions. The bankruptcy must have been discharged. Any waiting period after a bankruptcy varies by lender, from zero to 24 months.
- Maximum loan-to-value ratio: 160%.
OpenRoad - Refinance loan
5.99-29.90%
$7,500-$100,000
500
- Borrowers work with Loan Care Agents who receive extensive training in auto refinancing.
- Applicants receive a single pre-qualification offer (or decline), which limits borrower contact from network lenders.
- Most lenders pre-qualify using a soft credit check.
- Applicants have the option to apply by phone or online.
- Website provides accessibility tools.
- Allows co-signers and co-borrowers.
- Most network lenders charge an origination fee up to $199.
- Provides only one pre-qualified offer.
- A few network lenders may use a hard credit inquiry for pre-qualification.
- Social Security number required to submit initial application.
- Not available in some states.
- Minimum annual gross income: There is a minimum income requirement in nearly all cases; the lowest among all lending partners with a minimum is $24,000.
- Maximum debt-to-income ratio: Did not disclose.
- Bankruptcy restrictions: A few network lenders have bankruptcy restrictions. OpenRoad Lending did not disclose what the restrictions are.
- Maximum mileage: 150,000 miles.
- Maximum loan-to-value ratio: 160%.
Our pick for
Refinancing with direct lenders
Direct lenders are banks, credit unions and other companies that work directly with a borrower to make and service loans. We evaluate them using different criteria than aggregators.
Consumers Credit Union - Refinance loan
5.94-21.24%
$7,500-$500,000
620
- No vehicle restrictions.
- Offers 0.25 percentage point rate discount with automatic payment. Rate shown reflects this discount.
- Sends payoff directly to the previous lender.
- Allows co-signers.
- Credit union membership required to get a loan.
- Minimum annual gross income: None.
- Maximum debt-to-income ratio: Did not disclose.
- Bankruptcy restrictions: No open bankruptcies.
- Maximum mileage: None.
- Maximum loan to value ratio: 125%.
LendingClub - Refinance loan
5.99-24.99%
$4,000-$55,000
660
- Applicants can pre-qualify with a soft credit check.
- Application process 100% online including document upload.
- Social Security number not required to pre-qualify.
- Charges no origination fee.
- Borrowers can choose loan payment due date.
- Not available in all states.
- Has some vehicle restrictions.
- Maximum refinance amount lower than other lenders.
- Minimum annual gross income: None.
- Maximum debt-to-income ratio: 80%.
- Bankruptcy restrictions: Bankruptcy must be more than 12 months ago.
- Maximum mileage: 120,000.
- Maximum loan to value ratio: 165%.
LightStream - Refinance loan
8.24-16.69%
$5,000-$100,000
660
- Available in all states.
- Customer service available on Saturday.
- No origination fee.
- Fully online application available.
- Co-borrowers or co-signers allowed.
- No vehicle restrictions.
- No down payment requirements.
- Doesn’t offer pre-qualification with a soft credit check.
- Doesn’t provide a Spanish version of website.
- Minimum annual gross income: None.
- Maximum debt-to-income ratio: Did not disclose.
- Bankruptcy restrictions: Yes. Details not disclosed.
- Maximum mileage: None.
- Maximum loan to value ratio: None.
Ally - Refinance loan
9.79-24.74%
$7,500-$99,999
620
- Applicants can pre-qualify with a soft credit check.
- Application process 100% online including document upload.
- Social Security number not required to see pre-qualified offers.
- Borrowers can choose loan payment due date.
- No rate discount offered.
- 24-month loan term not offered.
- Has vehicle restrictions.
- Minimum annual gross income: $24,000.
- Maximum debt-to-income ratio: Did not disclose.
- Bankruptcy restrictions: None.
- Maximum mileage: 121,001 miles.
- Maximum loan to value ratio: 160%.
PenFed Credit Union - Refinance loan
5.94-17.99%
$10,000-$100,000
Did not disclose
- Provides up to six pre-qualified offers with rate and payment amount for various terms using a soft credit check.
- Customer service available seven days a week.
- Application process can be 100% online.
- Offers lower refinance rates for newer-model cars with less than 7,501 miles.
- Credit union membership is required, but it can be set up after applying for a loan.
- Does not offer rate discounts for automatic payments.
- Minimum refinance loan amount is higher than other lenders.
- Social Security number required with initial application.
- Minimum annual gross income: No minimum.
- Maximum debt-to-income ratio: Relies on PTI (payment to income) ratio for approvals, but did not disclose ratio.
- Bankruptcy restrictions: Applicants with bankruptcy in the past two years will not qualify.
- Maximum mileage: 125,000 miles.
- Maximum loan-to-value ratio: 125%.
Digital Federal Credit Union - Refinance loan
6.49-15.24%
$2,500-$500,000
600
- Offers rate estimates through online auto refinance application using a soft credit check.
- Offers shorter term loans.
- Has a 24-hour access consumer loan call center.
- Application process can be 100% online.
- Offers two opportunities for discounts on already low rates.
- Will refinance existing DCU auto loans.
- Allows co-signers and co-borrowers.
- Credit union membership is required, but it can be set up after applying for a loan.
- Social Security number required with initial application.
- Minimum annual gross income: $6,000.
- Maximum debt-to-income ratio: 60%.
- Bankruptcy restrictions: There is a 12-24 month waiting period after the bankruptcy depending on credit score.
- Maximum mileage: 250,000 miles.
- Maximum loan to value ratio: 130%.
Navy Federal Credit Union - Refinance loan
4.54-18.00%
$243-No max.
Did not disclose
- Offers a rate discount for active-duty and retired military members.
- Available in all states.
- Has 24-hour member service.
- Fully online application available.
- Co-signers and co-borrowers allowed.
- No rate discount for automatic payments.
- Doesn’t offer pre-qualification with a soft credit check.
- No choice of payment date.
- Minimum annual gross income: None.
- Maximum debt-to-income ratio: Did not disclose.
- Bankruptcy restrictions: None.
- Maximum mileage: None.
- Maximum loan-to-value ratio: Did not disclose.
Alliant Credit Union – Refinance loan
6.62-26.40%
$4,000-$1,000,000
Did not disclose
- Offers rate discount with automatic payment.
- No restrictions on vehicle age or mileage.
- Application process can be completed 100% online.
- Does not offer pre-qualification with a soft credit check.
- Credit union membership required to get a loan.
- Minimum annual gross income: None.
- Maximum debt-to-income ratio: 60%.
- Bankruptcy restrictions: Yes, but did not disclose.
- Maximum mileage: None.
- Maximum loan to value ratio: 140%.
Should you refinance your car loan?
Borrowers refinance auto loans for different reasons, and you most likely have a specific goal in mind. You may want to refinance to a lower interest rate to save money or shorten your loan term to pay it off sooner.
If you're having trouble making your monthly car payment, you might want to extend the loan term to lower the payment. But be aware that this can result in paying more interest over the life of the loan.
An auto loan refinance calculator can help you try out different rate, term and payment scenarios.
» Try our auto loan refinance calculator
When does it make sense to refinance a car loan?
If your credit has improved. If you’ve made consistent, on-time payments for six to 12 months since getting your car loan, and the lender has been reporting these payments to the credit bureaus, you might now qualify for a lower interest rate.
If a car dealer marked up your interest rate. When you got your original loan, the car dealer might have charged you a higher interest rate than you could have qualified for elsewhere — or can still qualify for with refinancing.
If you can’t keep up with payments. Refinancing to extend the length of the loan can lower your car payments, but don’t take this step lightly. Extending the loan term means you will pay more interest and more in total over the life of the loan, but that’s still a better option than missing payments or facing repossession.
If interest rates drop. If auto loan rates in general fall lower than when you first got your car loan, refinancing could be an opportunity to take advantage of these lower rates.
Another reason for refinancing a car is to remove a co-borrower from an existing auto loan.
Want to refinance your auto loan? See if you pre-qualify.
What happens when you refinance a car loan?
The process to refinance an auto loan is simple. You apply for an auto refinance loan, or auto refi loan, just as you would any other type of auto loan. Typically, you will have to apply with a new lender, because few lenders will refinance their own loans.
You will be able to choose the term for the new loan. This can be the same as the number of months remaining on your current loan, or you can shorten or extend it. Terms available from auto refinancing lenders vary, but a range of 24 to 84 months is the most common.
Extending the length of your car loan when you refinance will lower your monthly payments, but you will pay more interest over the life of your loan. It can also put you at risk of owing more than your car is worth, which is called being upside-down on your auto loan.
When you’re approved for an auto refinance loan, it provides funds to pay off and replace your current vehicle loan. In most cases, your refinance lender will take care of paying off your current loan. You then start making monthly, and hopefully lower, payments on the new loan.
The final step when refinancing is having a new car title issued to replace the lienholder (lender that has your loan) with the new lender. Many lenders will handle the title transfer for you. In some states, you may also need to re-register the car.
Refinancing may lower your credit scores if the lender uses a hard credit inquiry, but the drop is temporary and won’t have a long-term effect on your credit.
When is the best time to refinance a car loan?
Some lenders will refinance an auto loan as soon as you can provide information about your existing loan and lender. If you settled for an extremely high auto loan rate to escape a dealership, and you have good credit (FICO score of 690 and up), then refinancing to a lower rate as soon as possible may be a good idea.
On the other hand, if your blemished credit history resulted in a high auto loan APR, you might wait six to 12 months and keep paying on your existing loan. You generally need a history of six to 12 months of on-time payments, with no new negative items on your credit report, to make auto refinancing worthwhile or even possible with some lenders.
» MORE: How to refinance your car loan
Who are the best auto loan refinance lenders?
The best auto refinancing lender for you may be different than the “best” for someone else. The higher your credit scores and the stronger your credit history, the more lender choices you will have with lower rates.
Nearly all banks and credit unions, known as direct lenders, offer auto loan refinancing. Your current bank or credit union might be a good place to start — especially if they offer a rate reduction for automatic payments.
Online loan marketplaces that work with a network of refinancing lenders are another option, and some specialize in refinancing auto loans. They provide the convenience of applying to many lenders with one loan application, but this can also lead to receiving calls, texts and emails from multiple lenders.
Lenders have different limits for car mileage and age, as well as the minimum amount a person can borrow, so make sure your needs fit within a lender’s requirements before you apply.
Applying to several auto refinance lenders and comparing offers give you the best chance of finding the lowest-rate loan with the shortest term. Make sure all applications are within a two-week window, so any hard credit inquiries are counted as one and have less effect on your credit scores.
Can you refinance a car loan with bad credit?
Refinancing an auto loan when you have bad credit can be difficult, but it might still be possible. Some lenders have minimum credit score requirements as low as 500. NerdWallet’s reviews of auto loan refinancing lenders show the minimum credit score for most.
But if your bad credit hasn't improved since getting your original loan, you will most likely have trouble finding a lender willing to refinance to a lower rate.
If you’re having trouble making car payments, talk to your current lender right away (before missing any payments). Some lenders have options to assist you that don’t require refinancing.
Can you get money back when you refinance an auto loan?
If your car is worth substantially more than you owe on it, some lenders allow what is known as cash-out auto refinancing. You borrow more than you owe on your current loan, pay off that lender and take the remainder in cash.
Interest rates for cash-out refinancing may be lower than those on a credit card or personal loan because the loan is secured by your car. But overborrowing against your car comes with risks. If your car is totaled or you eventually want to sell it, you might not receive enough from insurance or the buyer to pay off your loan balance. You would then be responsible for paying the remainder of the loan.
Last updated on October 20, 2023
Methodology
NerdWallet's review process surveys companies that offer any combination of new car purchase loans, used car purchase loans, auto refinance loans (traditional and/or cash-out) and lease buyout loans. These companies include direct lenders and aggregators; the latter group doesn't have in-house loan products but matches borrowers to third-party lenders within a network. Our aim is to provide an independent assessment of providers to help arm you with information to make sound, informed judgements on which ones will best meet your needs. We adhere to strict guidelines for editorial integrity.
Our survey for direct lenders has different questions than the survey for aggregators, but each includes more than 60 data points. NerdWallet independently confirms product details and, when necessary, follows up with company representatives. At least two writers and an editor verify the facts for every lender review to ensure data are accurate.
To receive a star rating, a provider must respond to NerdWallet’s annual auto loans survey. Star ratings are then assessed from poor (one star) to excellent (five stars).
For more details about the categories considered and our processes, read our full methodology for rating direct lenders and our full methodology for rating aggregators.
NerdWallet's Top Auto Loan Refinancing Lenders
- RefiJet - Refinance loan: Best for Refinancing through loan aggregators
- Consumers Credit Union - Refinance loan: Best for Refinancing with direct lenders
- MyAutoloan - Refinance loan: Best for Refinancing through loan aggregators
- Tresl - Refinance loan: Best for Refinancing through loan aggregators
- Auto Approve – Refinance loan: Best for Refinancing through loan aggregators
- LendingClub - Refinance loan: Best for Refinancing with direct lenders
- Caribou - Refinance loan: Best for Refinancing through loan aggregators
- LightStream - Refinance loan: Best for Refinancing with direct lenders
- RateGenius - Refinance loan: Best for Refinancing through loan aggregators
- Gravity Lending - Refinance loan: Best for Refinancing through loan aggregators
- Upstart - Refinance loan: Best for Refinancing through loan aggregators
- Ally - Refinance loan: Best for Refinancing with direct lenders
- Autopay - Refinance loan: Best for Refinancing through loan aggregators
- iLending - Refinance loan: Best for Refinancing through loan aggregators
- OpenRoad - Refinance loan: Best for Refinancing through loan aggregators
- PenFed Credit Union - Refinance loan: Best for Refinancing with direct lenders
- Digital Federal Credit Union - Refinance loan: Best for Refinancing with direct lenders
- Navy Federal Credit Union - Refinance loan: Best for Refinancing with direct lenders
- Alliant Credit Union – Refinance loan: Best for Refinancing with direct lenders
Frequently asked questions
- What will it cost to refinance my car loan?
Most auto loans carry no prepayment penalty, so you most likely won't have any fees associated with ending your original loan. Some lenders do have application fees, so ask your auto refinancing lender about that. Also, some states require you to re-register the vehicle, so you could have registration or title transfer fees. Ask your local DMV about the requirements and costs in your state.
- Can I refinance if I owe more than my car is worth?
When you finance a car, whether you're buying or refinancing, the vehicle is collateral for the loan. Some lenders want a loan to be fully secured and won't provide a loan for more than 100% of the car's value. This is called the “loan-to-value” ratio or LTV. Other lenders make loans for more than 100% LTV, but usually only if the borrower has good credit. If you can refinance your upside-down car loan, it may be a way to get right-side up faster.
- Is it easy to refinance an auto loan?
The process of refinancing a car loan is simple and straightforward. You apply for an auto refinance loan just as you would any other type of auto loan. Many lenders have online applications for auto loan refinancing, and some promise a loan decision in minutes.
If you have poor credit, you may have more difficulty finding a lender willing to refinance your car loan. Also, some lenders require that you pay on an auto loan for several months before they will refinance it.
- Can I refinance a car at the same bank?
Most lenders will not refinance their own loans, so in most cases you will need to refinance your car with a different lender. There are some exceptions though. For example, Bank of America says it will refinance existing auto loans, so you should ask your current lender about its refinancing policies.
