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Is anyone eligible to refinance a car?

I want to refinance my car, but I'm not sure if I qualify. How do I know?

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Eric Schad · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
Refinancing a car loan is a great way to save money, so you’re making a savvy move!
With that said, there are a few things you need to qualify for a loan (in most cases):
  • Positive equity in your car: If you’re
    upside down on your car loan
    , meaning you owe more on the car than it’s worth, most lenders won’t work with you due to the risk involved.
  • A steady income that can support the loan
  • Good or above-average credit: If your credit score has fallen considerably since you took out your current loan, you may not qualify.
While you’re shopping rates for a refinance, you may as well do the same for your car insurance. Use the
Jerry
app to compare dozens of rates so you always get the best coverage at the most affordable price.
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