Refinance Car Loan

Refinance Car Loan

Running out of money is not the only reason you should refinance your car loan. There are many benefits when you refinance an existing car loan, such as getting a lower interest rate, freeing up your cash flow, and extending your loan term.

With that, many car owners in Australia look up questions like ‘how to refinance a car loan’ ‘when to refinance a car’ ‘what do I need to refinance my car’ and many other similar queries. If you want to refinance your car loan, you must consider not only when to refinance your car, but which lender to refinance your car with as well.

Compared to the four big banks in the country, SocietyOne offers one of the lowest interest rates for personal online loans, including car loans, motorbike loans, holiday loans, green loans, and a lot more. Getting a personal loan to refinance your car loan at SocietyOne is easy as our digital platform takes place online. From sending your loan application to tracking your approval status to managing your repayments, SocietyOne has made taking out loans much easier for everyone.

Aside from car refinance rates, you should also take into consideration other factors when you refinance an auto loan, such as if you can get an auto loan refinance with the same lender.

Can I refinance my car loan with the same lender?

When people plan to refinance their car loan, one of the most common questions is ‘can I refinance a car loan from the same lender?’ The short answer is yes, it is possible to refinance your car loan from your current lender, given that they offer a refinancing service. It may even be easier to stick to your current lender since you don’t have to go through the application process from scratch again, and they already know your loan situation. However, remember that your loan is not locked in with your current lender either, so if you find a better deal after you’ve made a refinance car loan comparison, you can definitely do so as well.

If you have an existing car loan with SocietyOne, and you don’t think you can meet your loan repayments, you don’t have to refinance your car loan right away. Get in touch with us first if you need short- or medium-term assistance with your repayments, and our customer service team will be happy to accommodate you. We will discuss the options available to you, including possible solutions such as flexibility when instalments are due, loan term extensions, and other options that will depend on your unique situation.

Does refinancing my car loan get me a lower rate?

People don’t just refinance their car loan when their funds are depleted; they also go for this option because they have the chance to lower their interest rates. If you had a bad credit score when you took out your original car loan, you could find a better loan after waiting for some time to improve your credit profile.

If your credit score has improved enough, you may qualify for a lower interest rate. With a lower interest rate, you will be able to pay off your loan more quickly or reduce your monthly payment while paying it off at the same time, which will save you money over the course of the loan. However, it's crucial to do the math if you truly want to pay less overall, so we highly recommend you use a personal loans repayment calculator.

SocietyOne has an online repayment calculator where you can quickly get an assessment of how much you will have to pay over your loan term. You will also see breakdowns of the interest rates as well the total loan amount. Aside from that, you can also check your credit score for free on our platform. You can check as many times as you need to, and we’ll even give you access to some tips on improving your score. On the same platform, you can track your credit score progress so that you know when you’re ready for a car loan refinancing option.

What are the requirements to refinance a car loan?

When you choose to refinance your car loan with the same lender you got your original loan from, you may not be required to submit the requirements anymore. If there are changes in your documents, however, such as your address or income, you may be asked to submit updated documents.

If you plan to refinance your loan from a new lender, the following requirements may be asked of you:

1. Personal documents showing your name, address, and date of birth, such as government-issued documents or IDs
2. Utility bills or other valid documents that show proof of your address in Australia
3. Documents that can be used as proof of income, such as payslips and bank statements
4. Documents showing your other existing loans or debts

You must also be an Australian citizen or permanent resident of Australia, at least 18 years old, have a per annum income of at least $30,000 and have a good credit history to take out a loan.

The same requirements and conditions are needed to process your loan application with SocietyOne. You can submit your application on our online platform, and if approved, you may receive the funds within one business day.

If you have other existing loans and debts aside from your car loan – for example, personal loans for students – you can use our debt consolidation loan service to use loans to pay off loans. The interest you have on the different loans can be greatly reduced, and if you find it difficult to handle multiple debt repayments at once, consolidating your debt into a personal loan with a single regular payment can simplify your finances and make budgeting easier.

Get your personalised loan rate today at SocietyOne! Our lines are open to discuss possible options to refinance your car loan for you as well.