How soon after I take out a car loan can I refinance?

I took out a car loan about six months ago, but my credit score has risen and rates have dropped a bit. How soon after my original car loan can I refinance?

Answer provided by
Eric Schad
Answered on Apr 27, 2021
Eric Schad has been a freelance writer for nearly a decade, as well as an SEO specialist and editor for the past five years. Before getting behind the keyboard, he worked in the finance and music industries (the perfect combo). With a wide array of professional and personal experiences, he’s developed a knack for tone and branding across many different verticals. Away from the computer, Schad is a blues guitar shredder, crazed sports fan, and always down for a spontaneous trip anywhere around the globe.
“There’s no legal limit for when you can refinance. If your credit score has gone up, interest rates have gone down, and you’ve paid on time up until now, you can certainly refinance.
When you refinance, just make sure to budget for how much you can afford. Shortening the length of the loan will get you a better rate and lower how much interest you pay over the life of the loan, but your monthly payments will be bigger.
If you want to shorten the loan and take on higher payments, make sure to budget for other related expenses such as car insurance, gas, and maintenance.”

Did this answer help you?

Ask us a question by email and we will respond within a few days.

Have a different question?

You can meet us at our office and discuss the details of your question.

Easiest way to compare and buy car insurance

No long forms
No spam or unwanted phone calls
Quotes from top insurance companies