Good for: Consumers with poor credit who want fast preapproval to refinance an existing car loan
CarFinance.com is a direct lender offering auto loan refinancing. The lender provides fast preapproval decisions and refinances loans for those who might not get refinancing from other sources.
CarFinance.com is a good fit for those who:
- Want a fast decision: You can get preapproved for a refinance loan in less than 30 minutes during business hours.
- Have bad credit, with scores as low as 525: But finding a low interest rate can be a challenge for borrowers with bad credit. Shop around for the best rate.
- Are carrying a lot of debt: CarFinance.com will refinance borrowers who are already carrying a debt load up to half their monthly income.
CarFinance.com at a glance
|APR*||7.99% - 21.99%|
|Loan amounts||$7,500 - $45,000|
|Min requirements||Credit score: 525
|Hard credit check with application?||Yes|
|Availability||43 states and Washington, D.C.|
CarFinance.com review details
CarFinance.com, managed by subprime lender Flagship Credit Acceptance, can help borrowers with high debt and bad to fair credit refinance their car loan.
Applying to refinance your car loan from CarFinance.com is fairly straightforward. You can fill out the application online and receive preapproval quickly. You might be asked to provide additional documents, which can be sent electronically. Note that CarFinance.com requires a hard credit pull, which slightly lowers your credit score. This means its best for borrowers who are serious about refinancing their car loan, not just shopping rates.
When evaluating refinance applications, CarFinance.com says the most important factors are your payment history on your current auto loan and other debt and the ratio of your total debt to income (including the potential debt from a CarFinance.com loan).
Car loan rates
As with all auto financing, your interest rate on a refinance loan from CarFinance.com will depend on your credit, with lower scores resulting in higher rates. Lenders set their own requirements, but credit scores are generally categorized as follows:
- 300-629: Bad credit.
- 630-689: Fair credit, also called “average credit.”
- 690-719: Good credit.
- 720 and up: Excellent credit.
CarFinance.com generally lends to consumers with credit scores between 525 to 650, signaling its focus on borrowers with bad credit. Its loans have minimum APRs of 7.99% and could be as high as 21.99% for a refinance loan. The higher your rate, the more you’ll pay in interest over the life of the loan.
If you know your credit score, you can get an idea of the interest rate you might qualify for. And remember, it’s especially important to compare offers so you can find the best possible rate if you have bad credit.
Applying to CarFinance
- Refinance offers are good for up to 30 days.
- Can get pre-approval in 30 minutes.
- Co-applicants allowed.
- No application fee; may charge late fees.
- Current loan must be open at least 3 months, but 6 months of on-time payments will give you the “best chance of approval.”
- Maximum vehicle age: 8 years.
- Maximum vehicle mileage: 100,000 miles for 60 month terms; 75,000 miles for 72 month terms.
- Loan terms: 36 to 72 months.
- Excluded makes/models: Include exotic cars, certain discontinued makes, motorcycles and super duty trucks.
- Not available in Hawaii, Massachusetts, Mississippi, Nevada, North Dakota or Oregon.
How CarFinance.com compares
CarFinance.com refinances consumers who often have high debt and poor credit and might not get approved by other lenders. It also has no stated minimum income requirement, while other, similar lenders require applicants to make at least $1,100 per month.
The tradeoff to these relaxed requirements is that CarFinance.com has a higher minimum interest rate than other lenders. The table below shows how CarFinance.com’s refinance requirements stack up to those of other lenders.
|Company||Minimum credit score||Minimum monthly income||Maximum vehicle age/mileage||Hard pull?||Get started|
|MyAutoloan ||500||$1,100||10 yrs / 125,000 mi||Yes|
|OpenRoad Lending||500||$1,500||10 yrs / 100,000 mi||Yes|
|IFS||500||$1,500||10 yrs / 150,000 mi||No|
|LendingClub||510||None||10 yrs / 120,000 mi||No|
|CarFinance.com||525||None||8 yrs / 100,000 mi||Yes|
|Capital One||540||$1,500 - $1,800||7 yrs / No restriction||No|
|RateGenius||550||$2,000||7 yrs / 100,000 mi||Yes|
|RefiJet||580||$2,000||10 yrs / 200,000 mi||No|
|Autopay||600||$2,000||11 yrs / 125,000 mi||No|
|Clearlane||600||$1,800||10 yrs / 100,000 mi||No|
|Consumers Credit Union||640||$500; $2,000 preferred||No restriction||Yes|
|Company||Min credit score, monthly income||Get started|
$1,500 - $1,800
|Consumers Credit Union||640|
$500; $2,000 preferred
More from CarFinance.com
CarFinance.com offers additional services and features to help borrowers manage their car loans. The lender offers GAP Protection, also known as guaranteed asset protection insurance, which covers the difference between your loan balance and your car’s value — what your insurance company pays out on a total loss claim. CarFinance.com also partners with insurance company Infinity to provide auto insurance.
» MORE: Infinity auto insurance review
The lender’s monthly payment calculator can help you understand how refinancing could improve your current car loan and would fit into your budget. The site also features a blog, customer resource center and robust FAQ section.
Shopping for an auto loan
More from NerdWallet
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