Services
PriceProtect™
DriveShield™
GarageGuard™
Insurance
Car Insurance
Compare Car Insurance with Jerry
Jerry’s Expert Advice
Car Insurance Estimates
Home & Renters Insurance
Home Insurance
Renters Insurance
Loans
Car Loan
Compare Car Loans with Jerry
Jerry's Expert Advice
Car Loan Guides
Repairs
Car Repair Estimates
Repair Estimates for Popular Services
Advice
Read Car Content
Browse Jerry Car Advice
Check Out Expert Car QnA
Learn About How We Create Content
Jerry Data & Research
Recent Studies
Comprehensive Data Reports
Reviews
About
FAQ
MenuIcon
BACK

How does refinancing a car loan affect my credit score?

I’m thinking about refinancing my car loan, but I just got my credit score up. I’m worried that refinancing will lower my score again. How will the refinancing process affect my score?

avatar
Liz Jenson · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
Refinancing your car loan can have a temporary negative effect on your credit score. Your new lender will need to perform a hard credit check to make sure you qualify for the loan and because you are technically taking on new debt when you refinance your loan.
Hard credit checks will only remain on your credit report for about a year, though. You’ll likely see your score get close to normal after you continually make on-time payments. You may even see an increase in your credit score as time goes on.
If you’re looking to refinance your car loan, start your search with the
Jerry
 app. You can compare quotes from multiple lenders without worrying about your credit history. Avoid the hassle of researching and sending documents to potential lenders. Jerry’s app instantly connects you with top companies to find a loan that best meets your needs.
MORE:
How to reduce car payments without refinancing your car loan
Car LoanCar LoansCar OwnershipRefinancing
View full answer 
Jerry user testimonial avatar
rating primary
“My experience with Jerry has been absolutely incredible. It took my car insurance from about $400/month to about $80. The entire experience is seamless.” - Gregory R.
Lower my car insurance too
WHY YOU CAN TRUST JERRY
Jerry partners with more than 50 insurance companies, but our content is independently researched, written, and fact-checked by our team of editors and agents. We aren’t paid for reviews or other content.

Join 4M+ members in lowering their car insurance

Find insurance savings

You Might Also Be Interested

card cover

How to Reduce Car Payments Without Refinancing Your Car Loan

If you don't have good enough credit to refinance a car loan, auto loan modification is a good option. Contact your lender for options on lowering payments and interest.
avatar
Rochelle Miller-Hernandez
card cover

How Does Interest Work on a Car Loan?

If you took a loan to pay for your car, you will be charged interest on your monthly loan payments. Interest is what you’re charged to borrow money.
avatar
Mary Cahill
card cover

What Information Do We Require To Refinance Your Car Loan?

When you apply, we will need you to prove your identity, confirm your employment, verify your income, and show that your vehicle registration and insurance are current before you can refinance your car loan.
avatar
R.E. Fulton

Read Advice From Car Experts At Jerry

card cover

(Almost) Every Exterior Car Part Named and Explained

From bumper to bumper, here are the names and descriptions of almost every car part.
avatar
Jasmine Kanter
card cover

How Much Does a Rebuilt Title Devalue a Car?

A rebuilt title devalues a car by 20% to 50%, depending on the model, its age, the extent of its previous damages, and the location. Learn more here.
avatar
Pat Roache
card cover

2020 Jeep Grand Cherokee Gas Tank Size

The 2020 Jeep Grand Cherokee comes with a 24.6-gallon fuel tank no matter what trim you go with. Here’s how to verify your Cherokee’s fuel capacity yourself.
avatar
Matt Nightingale

What Others Are Asking

Where do you open the gas tank in a Hyundai Tucson?
I recently bought a used Hyundai Tucson and am having trouble figuring out how to access the gas tank to refuel—where do you open the gas tank in a Hyundai Tucson?
avatar
Andrew Biro
What do I do if my Mazda 5 sliding door won’t open?
My Mazda 5 sliding door has stopped working. It seems like no matter what I do, it won’t open. It was working just fine the last time I drove it. What should I do?
avatar
Sarah Gray
How do you connect Bluetooth in a 2014 Ford Explorer?
I just bought a used Ford Explorer, but I’m not too tech-savvy and can’t figure out how to connect my phone. What do I do to connect to Bluetooth in a 2014 Ford Explorer?
avatar
Amber Reed
Browse All Questions

Browse More Content

Car Repair Resources

Insurance for Your Car

Insurance in Your State

    Insurance In Your City

    Easiest way to compare and buy car insurance

    √
    No long forms
    √
    No spam or unwanted phone calls
    √
    Quotes from top insurance companies
    Find insurance savings
    Car Insurance by Make
    Audi
    BMW
    Dodge
    Ford
    GMC
    Honda
    Hyundai
    Jeep
    Kia
    Lexus
    Mercedes-Benz
    Mitsubishi
    Subaru
    Tesla
    Toyota
    View all
    Car Insurance by Model
    Chevrolet Silverado
    Chevrolet Malibu
    Ford Escape
    GMC Sierra
    Honda Accord
    Honda Civic
    Hyundai Tucson
    Jeep Cherokee
    Jeep Wrangler
    Kia Forte
    Mazda 3
    Nissan Altima
    Subaru Outback
    Subaru Crosstrek
    Toyota Camry
    Toyota Corolla
    Toyota Tacoma
    Toyota Highlander
    Toyota Rav4
    Volkswagen Jetta
    View all
    Car Insurance by State
    AL
    AZ
    AR
    CA
    CO
    CT
    DE
    FL
    GA
    ID
    IL
    IN
    IA
    KS
    KY
    LA
    ME
    MD
    MA
    MI
    MN
    MS
    MO
    MT
    NE
    NV
    NH
    NJ
    NM
    NY
    NC
    ND
    OH
    OK
    OR
    PA
    RI
    SC
    SD
    TN
    TX
    UT
    VT
    VA
    WA
    WV
    WI
    WY
    Car Insurance by City
    Austin, TX
    Boston, MA
    Charlotte, NC
    Chicago, IL
    Columbus, OH
    Dallas, TX
    Denver, CO
    Houston, TX
    Indianapolis, IN
    Jacksonville, FL
    Las Vegas, NV
    Los Angeles, CA
    Nashville, TN
    New York, NY
    Philadelphia, PA
    Phoenix, AZ
    Portland, OR
    San Antonio, TX
    San Francisco, CA
    Seattle, WA
    View all
    Car Loan by Make
    Audi
    BMW
    Chevrolet
    Ford
    GMC
    Honda
    Hyundai
    Kia
    Lexus
    Nissan
    Mercedes-Benz
    Subaru
    Tesla
    Toyota
    View all
    Car Insurance by Company
    AAA
    Allstate
    Aspire Advantage
    Assurance America
    Bristol West
    Commonwealth
    Dairyland
    Encompass
    Infinity
    Kemper
    Mapfre
    Mercury
    National General
    Nationwide
    Plymouth Rock
    Progressive
    Safeco
    State Auto
    Travelers
    Car Loan by State
    AL
    AZ
    AR
    CA
    CO
    CT
    DE
    FL
    GA
    ID
    IL
    IN
    IA
    KS
    KY
    LA
    ME
    MD
    MA
    MI
    MN
    MS
    MO
    MT
    NE
    NV
    NH
    NJ
    NM
    NY
    NC
    ND
    OH
    OK
    OR
    PA
    RI
    SC
    SD
    TN
    TX
    UT
    VT
    VA
    WA
    WV
    WI
    WY
    Car Repair by Service
    AC Compressor Replacement Cost
    Battery Replacement Cost
    Fuel Injector Replacement Cost
    Fuel Pump Replacement Cost
    Ignition Coil Replacement Cost
    Oil Change Cost
    Oil Pan Replacement Cost
    Power Steering Fluid Service Cost
    Rotate Tires Cost
    Spark Plugs Replacement Cost
    Timing Belt Replacement Cost
    Valve Cover Gasket Replacement Cost
    Water Pump Replacement Cost
    Wheel Bearings Replacement Cost
    View all