There aren’t too many things in life that are more expensive than owning a car. At least homes and other types of properties are appreciating assets, while a car is a depreciating asset that presumably loses 20% or more of its sale value the moment you drive away from the dealership.
Fortunately, Lending Club wants to make car ownership easier with its new auto loan-refinancing program. Say goodbye to application fees, origination fees, and those annoying prepayment fees that other lenders charge to punish borrowers from paying off their loans earlier than expected!
Lending Club Refinance
Lending Club takes a frustrating process and makes car ownership more affordable with its auto-refinancing program. If you’ve recently considered refinancing your car loan, then you won’t want to miss out on this unprecedented opportunity to save quite a bit of money on your loan. Here’s what you need to know about Lending Club refinance.
How Does Auto Refinancing Work?
There are a number of reasons why people might want to refinance their auto loans, including your credit score improved since you first took out the loan, interest rates have dropped, your auto loan came from a dealership (which typically charges 3% or higher APR than other auto lenders), or you’re struggling to meet your current car payments. If you want to make car ownership affordable again, then auto-refinancing is one of the best options available.
When you decide it’s time to refinance your auto loan, it’s important to compare rates among major lenders to get the best deal possible. You don’t want to submit too many loan applications – lest you damage your credit score with multiple “hard inquiries” from lenders checking your credit report – and be sure to read the fine print for every loan refinance offer you consider to avoid any headaches later on.
Save Money on Car Payments
It’s important to comparison-shop, of course, but Lending Club truly stands out from the competition when it comes to offering the best rates and terms for auto loan borrowers. Lending Club’s website claims their customers saved an average of $1,500 by refinancing their auto loans, which helped them save money for other car expenses like gas, maintenance, tires, and insurance.
The whole purpose of auto loan refinancing is to make your payments more affordable, so you’re not obligated to refinance if your rates are projected to be worse than what you’re currently paying. If you’re one of the 6 million Americans behind on car payments, however, refinancing offers you peace of mind, knowing you’re not at risk for repossession once you get back on track with your payments thanks to more reasonable auto loan interest rates.
Are You Eligible?
Lending Club is very transparent about who is eligible for auto loan refinancing. To qualify for a loan, you must meet the following minimum requirements:
- Your car must be no older than 10 years and have less than 120,000 miles on it
- Your car must be a personal use vehicle (Lending Club does not currently offer refinancing for RVs, commercial vehicles, motorcycles, or salvaged vehicles)
- Your auto loan must have been initiated at least one month ago and have an outstanding balance of $5,000 – $55,000, with at least 24 months of payments remaining
Your credit score will factor into the rates you’re offered by Lending Club, so you’ll likely need to provide your Social Security number during the application process in order to confirm your eligibility for a refinanced loan. If you have good or excellent credit, you could possibly get a much better interest rate than what you’re currently paying!
Why Lending Club Refinancing?
Lending Club offers flexible terms on its refinanced loans and also lets borrowers quickly check their interest rates before signing up for anything (best of all, simply checking your rate won’t impact your credit score). The online application process is super fast, which means you can get a decision on your refinance application much more quickly than if you visited a brick-and-mortar lender or a dealership.
Since the company launched, Lending Club has helped over 1.5 million people get access to affordable rates on a variety of loans. If you’ve been struggling with your current auto payments or you want to see if you qualify for lower interest rates than what your dealership or initial lender gave you, auto refinancing is an excellent opportunity to reduce your monthly car payments and free up more money without trimming anything from your budget.
Think of refinancing as more of a negotiation than a “win something, lose something” scenario: you have 0% chance of getting your payments lowered unless you apply, so visit Lending Club’s website today to fill out their quick and easy online application.