Bad Credit Car Loan Refinance

Car loan refinancing allows you to possibly receive better interest rates and lower monthly payments on your current car, truck, or SUV.  Programs of this type could be an option if your vehicle is worth more than you owe, or if it has been bought by a private buyer.  Refinancing simply means “to finance again,” and refinancing can pay off the original lender and begin a new term with a new payment amount.  If your credit is less than perfect, and it probably is if you’re visiting this website, then refinance programs of this nature will result in higher interest rates than those enjoyed by consumers in good financial standing.  However,  you should be able to secure a lower interest rate than what you had under the original contract.  No restrictions exist as regards the number of times you can apply for bad credit refinancing.

We encourage you to do so via our secure bad credit application form.

Some savvy borrowers apply yearly for refinancing, hoping to secure a better rate.  If the vehicle holds its value, a lender will be inclined to approve the loan.  For this reason, the vehicles that qualify for this kind of program are specific.  Bad credit refinancing programs are usually limited to vehicles that are 1) newer, 2) very expensive, or 3) considered “classics.”  Typically, older vehicles with high mileage do not keep their value and therefore do not qualify.  “Classics” are typically low mileage vehicles driven only for pleasure, and due to the scarcity of vehicles in their condition, appreciate in value over time.  In any case, these refinancing programs typically required “secured” loans, in that the title of the vehicle is pledged as collateral — agreeing to this kind of deal is paramount to securing approval.  The lender will keep the title in their possession until the debt is repaid.  This may sound harsh, but lenders must manage their risks effectively to stay in business, and bad credit is glaring sign that they should take special care to guard their investment.

As a final caveat:  if your credit score is too low — typically lower than 500 — you may be ineligible to apply or face auto-disapproval.  At, we encourage you to apply no matter your credit score, as our partner lenders have options available for the full spectrum of credit histories.