Special Holiday Hours: Sales and Service closed July 4th and 5th

How to Refinance a Car Loan

Man handing keys to couple

Are you interested in lowering your monthly car payments and saving on interest? A great way to do that is by refinancing your car loan. At Rallye BMW we are here to answer any questions you may have about refinancing so you can make an informed decision. We have the details on how to refinance a car loan in Syosset!

How Do You Refinance a Car Loan?

What is the purpose of refinancing? Refinancing helps to lower the interest rate you have to pay each month. It is important to know your current interest payments. Review your documents or contact your lender to confirm your current interest rate and monthly payments. Once you know how much you pay in interest per month, you can begin with the following steps:

  • Know Your Credit Score: If you have consistently paid your bills in a timely manner since your vehicle was purchased, it is likely that your credit score has improved and you could benefit from refinancing.
  • Begin the Application Process: Apply to several automotive refinance companies so you know whether you are getting a competitive rate. You will want to submit all applications within a 14 day period to minimize the negative impact on your credit score.
  • Evaluate Offers: Carefully consider each option so you can get the best deal possible. Use our online monthly payment calculator to help you compare offers.
  • Decide Loan Term: Keep your financial situation in mind when deciding on a short term or long term loan. With a short term loan, your monthly payments will be higher, but you will pay less interest in total. Choose a long term loan for smaller monthly payments, but remember that you will end up paying more in interest in the end.

The best way to refinance an auto loan depends on your circumstances, so make sure that any offer or term you choose works for your situation.

What to Know When Refinancing Your Car

Before you refinance, there are a few more things to consider.

  • Underwater Finances: It can be more of a challenge to get approved for refinancing if you owe a lot more on your vehicle than it is currently worth.
  • Older Vehicles: If your vehicle is older and has steeply depreciated, most lenders will not refinance the loan.
  • Fees: Make sure there aren’t any fees associated with paying off early your original car loan in advance. If there are, it may not be cost-effective to refinance.

If you find yourself in any of these situations, contact the finance center at Rallye BMW. We would be glad to help you find an option that is better for your unique circumstances.

Learn About Your Financing Options at Rallye BMW

Our finance experts are waiting to share what you need to know when refinancing your car. If you have any other questions about refinancing or what other options may be available to you, do not hesitate to contact us at your convenience. We would be glad to assist you.

More from Rallye BMW

  • What is the Towing Capacity for the 2021 BMW X3?

    For drivers who go on outdoor adventures on a daily basis, the 2021 BMW X3 will be a game changer since it is capable of towing equipment and essentials. The BMW X3 towing capacity is up to 4,400 pounds, so you can get away from Syosset and drive to outings without leaving behind your dirt…

  • Feel Luxurious within the 2021 BMW 3 Series Interior

    The interior of the 2021 BMW 3 Series takes your driving experience to the next level of luxury and comfort. With a BMW 3 Series sedan, you will see that you can drive from Syosset to Roslyn at ease. Once you get to experience its interior, you will never want to go back. But before…

  • Memorial Day Lease Specials at Rallye BMW

    Monday, May 31, 2021 is Memorial Day, and Rallye BMW is offering exciting BMW lease specials in honor of U.S. military personnel, their bravery, and their sacrifices. We’re offering incentives on the following models: Contact Us Special Offers 2021 BMW 228i xDrive Gran Coupe 2021 BMW 430i Convertible 2021 BMW 540i xDrive Sedan 2021 BMW 330i…

Contact Us

(516) 393-0000

Call Now

1 Brush Hollow Road • Westbury, NY 11590

Get Directions

Today's Hours:

Open Today! Sales: 9am-7pm

Open Today! Service: 7am-7pm

Open Today! Parts: 8am-5pm

Rallye BMW 40.7794846, -73.5577998.