Auto Loan Refinance Savings Calculator

See if refinancing your current car loan could lower your payments or save you interest.

Calculate Your Potential Refinance Savings

Current Loan Information
New Loan Offer
Include title transfer, processing fees, etc.

Understanding Auto Loan Refinancing

Refinancing your auto loan means replacing your current loan with a new one, typically from a different lender. Borrowers often refinance to achieve specific financial goals.

Potential benefits of refinancing include:

  • Lowering Your Interest Rate: If interest rates have dropped since you got your original loan, or if your credit score has significantly improved, you might qualify for a lower APR, reducing the total interest you pay.
  • Reducing Your Monthly Payment: A lower interest rate or extending the loan term (or both) can result in a lower monthly payment, freeing up cash flow.
  • Changing Your Loan Term: You might refinance to shorten your loan term (paying it off faster, potentially saving interest despite similar or higher payments) or lengthen it (lowering payments but likely paying more interest overall).

Things to Consider Before Refinancing

  • Refinance Fees: Lenders may charge fees for refinancing, such as application fees, title transfer fees, or processing fees. These costs need to be factored into your savings calculation.
  • Loan Term Impact: Extending your loan term to lower payments will usually mean paying more interest over the life of the loan, even with a lower rate. Conversely, shortening the term increases payments but saves interest.
  • Loan Amount vs. Vehicle Value: Some lenders have restrictions on refinancing if you owe significantly more than the car is currently worth (being "upside-down").
  • Credit Score: Your current credit score is a major factor in determining the interest rate you'll qualify for on a new loan.
  • Prepayment Penalties: Check if your *current* loan has any penalties for paying it off early.

How to Use This Calculator

  1. Under "Current Loan Information", enter your Remaining Loan Balance, your Current APR, and the Remaining Term in Months.
  2. Under "New Loan Offer", enter the New APR you expect to qualify for, the desired New Term in Months for the refinance loan, and any anticipated Refinance Fees/Costs.
  3. Click "Compare Refinance Options".
  4. The table will compare your estimated current payment and remaining interest against the new loan's payment and total interest. It will also highlight the change in monthly payment and the estimated net savings after accounting for fees.

Disclaimer: This calculator provides estimates based on your inputs and standard loan formulas. It does not guarantee loan approval or specific terms. Actual savings may vary based on lender policies, fees not included, and final loan terms. Consult with lenders and review official loan documents before making a decision.

Explore Your Auto Refinance Options

See if Blue Sky Loans can offer you a better rate or terms on your current auto loan. Check your rate with no obligation.

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