Finance, Loan, Debt and Credit.

January 27, 2016

Auto Refinance Calculator – Getting Accurate Figures From an Auto Refinance Calculator

Filed under: Loan — Tags: , , , , , , , — admin @ 12:46 pm

An auto refinance calculator is an excellent tool that you can use to see if, and how, refinancing can save you money. It has an easy interface that allows users to input just a few basic figures, such as loan balances, interest rates, and loan terms. All the complicated calculations are handled in the background, and in just a split second you can have a fairly accurate comparison of your current and new prospective auto loan. There are many out there, but most of them will have ask for the following information. It’s helpful to be somewhat knowledgeable about them.An auto refinance calculator will often times ask for the “payoff amount.” This can also be labeled as “principal,” “loan balance,” or even simply as “loan amount.” The most important thing to understand is that you need to enter the amount given to you by your lender when you request a “payoff” quote. This is different from your loan balance, as it can include accrued unpaid interest, and estimated interest that will accrue from the date that you request the payoff quote to the date that your lender expects to receive full payment (usually 7-10 business days). This amount can also include extra fees, such as title transfer fees and prepayment penalties. So, just call your lender and ask them for a payoff quote. They will usually tell you something like, ‘your payoff amount is x dollars and this quote is good until…’ That way, you can shop around for a couple days knowing your refinance quotes are fairly accurate.Next, you’ll most likely have to enter into the auto refinance calculator, the new interest rate at which you will be refinancing. This figure varies from lender to lender. There’s no way you can know exactly what this will be without a lending company doing a full check on your employment and credit. So, you’ll have to do some educated guessing. Plus, since you are just window shopping you don’t want to have a bunch of inquiries on your credit report because that will lower your credit scores. This is the last thing you want when you finally fill out an auto refinance application. So call each of the prospective auto refinancing companies, or visit their websites to get an average…..

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