Does auto refinancing help me reduce my payment in total?
by Dave LaLonde on Tuesday, August 28th, 2007There are many reasons to refinance, but the two primary reasons are to lower your payment or reduce your interest rate.
I’ve spoken with people that had to refinance a loan because they experienced an economic downturn. With the downturn, they could no longer afford their current debt load and got behind on some of their bills. As a result their credit score was lower. They refinanced their loan at a higher rate and a longer term, but they met their primary objective, which was lowering their payment so that they could meet their other obligations.
