The more you know about the Chevy financing process, the more confident and capable you’ll feel when the time comes to finance a new vehicle or refinance an old loan. Kerry Chevrolet is here to help drivers on every step of the journey. Learn how refinancing can affect your credit with help from our expert team.
What Is Auto Loan Refinancing?
Auto loan refinancing is the process of applying for a new loan to overwrite the conditions and terms of your current loan. Drivers will typically refinance if they’re able to secure more favorable conditions, either because their own financial circumstances have improved, or because interest rates have gone down. You may also want to consider refinancing if your cosigner circumstances have changed, as well.
In order to refinance your vehicle, all you need to do is submit an application with the new lender. If you’re approved, the new lender will purchase your current loan, and then you’ll begin making your loan payments to then.
How Does Refinancing Affect My Credit Score?
There are many benefits to refinancing a loan, including savings and term adjustments. That said, there are a few things you’ll want to consider, such as your credit score. Because you will be applying for a new loan, you can expect to see a hard check on your credit score, which can lower it. However, more favorable terms and conditions, including a lower interest rate, will help you to pay your vehicle off more quickly, meaning you can easily bring your score back up.
Refinance Your Loan with Our Chevy Financing Team
No matter what your vehicle financing journey might look like, Kerry Chevrolet is here to help along the way. We offer the support, tools, and resources you need to pick out the right vehicle at the right price. Get started with your loan refinancing at our dealership today.
