Best Auto Refinance Companies of 2025

---

*Rates and APYs are subject to change. All information provided here is accurate as of August 1, 2025.

What to know about auto refinance

• You can shop for an auto refinance loan by going directly to banks, credit unions or non-bank financial companies directly or by going to an auto refinance lending marketplace to comparison-shop.
• Refinancing a car loan can lower your monthly payment amount if you roll over your original balance into a new loan with a longer payoff period, a lower interest rate or both. However, taking longer to pay off your loan will mean paying more in interest over the life of the loan.
• The right auto refinance company will favorable terms that are presented clearly and with transparency.
• You might have to pay loan origination fees, prepayment penalties and other refinancing charges. Some lenders will roll these expenses into the new loan. While convenient, this means you will be charged interest on — and have to pay back — a higher amount.

How we chose our top picks

Our list of best auto refinance companies is built on more than 300 cumulative research hours, including interviews with company representatives. We evaluated 30+ auto refinance lenders, interviewed 15+ company representatives and reviewed over 30 data points, including minimum credit score requirement, loan processing fees and customer satisfaction.

Read the full methodology to learn more

Our Top Picks for Best Auto Refinance Companies of 2025

The companies listed below stood out after we researched and evaluated the respective merits of more than 15 choices for auto refinancing.

• PenFed Credit Union - Best Overall
• Gravity Lending - Best for Customer Service
• myAutoloan - Best for High Credit Scores
• Upstart - Best for Low Credit Scores
• Upgrade: Best for Average Savings Claim
• OpenRoad Lending - Best Marketplace

Best Auto Refinance Company Reviews

---

Why we chose it: PenFed Credit Union takes the title of the best direct lender for auto refinance loans because it doesn’t charge document fees or origination fees, and its annual percentage rates are competitive.

Pentagon Federal Credit Union (PenFed) is one of the nation’s largest credit unions, with nearly 3 million members, and anyone can join. Although it has a higher minimum APR for cars with more than 7,500 miles, you can at least refinance a car that has up to 125,000 miles on it. PenFed's interest rates are broadly competitive, and the credit union claims its new customers save an average of $191 a month.

Many auto refinance marketplaces impose document fees or origination fees, and in return, the company handles the original loan payoff. With PenFed, you’re responsible for this task, as well as changes to the vehicle title. Still, the lack of fees helps cut your total loan repayment.

---

Why we chose it: Gravity Lending has high ratings and favorable reviews on multiple third-party review platforms. It is a marketplace, rather than a direct lender, so prospective borrowers can put in their information and receive offers from some of the dozens of lenders in Gravity’s network.

Borrowers who refinance their vehicles with Gravity Lending can save an average of $105 a month, according to the company.

Its minimum APR is a favorable 4.99%, but be aware that only borrowers with high credit will be able to get this rate. Other factors that determine your interest rate include the term of your loan — Gravity offers auto refinance loans from 24 to 84 months, which is relatively standard for the industry — and your income. The age of your car, its mileage and debt-to-income ratio are all variables Gravity Lending’s partner network of lenders take into consideration.

Positive customer feedback on third-party review websites highlights the personalized assistance provided by loan officers. Gravity Lending stands out for the high marks it gets from users on TrustPilot as well as the BBB, with a 4.9 (out of 5) ranking on TrustPilot, and a 4.96 (also out of 5) on the BBB. The company has earned an A+ rating from the BBB, and it has very few customer complaints compared to some of its competitors.

---

Why we chose it: myAutoloan is our top pick for people with excellent credit who are seeking to refinance their car.

The company—a marketplace that sells products from many different lenders—says its options include a highly favorable minimum APR of 4.99% to those who qualify. Although it requires a higher-than-typical minimum annual income of $18,000, borrowers can refinance cars that are up to 10 years old and have as many as 125,000 miles on their "clock." Available loan amounts range from $5,000 to $100,000. The company says some borrowers have saved as much as $5,000 by refinancing their auto loan.

Despite the relatively high minimum annual income requirement of $18,000, a company spokesperson says MyAutoLoan can work with people who have credit scores as low as 580 to help them find an auto refinance loan that will meet their needs.

To get an idea of your potential APR, try the company’s Auto Loan Interest Rate Calculator, which doesn’t require personal information. You can also prequalify for an auto refinance loan using an online form. MyAutoloan guarantees up to four offers based on the accuracy of the provided information.

Read our full review of myAutoLoan Auto Refinance>>>

---

Why we chose it: Upstart is our pick for the best auto refinance company for borrowers with low credit scores. It can accommodate borrowers with scores as low as 510.

It has more flexible income requirement than its competitors: $12,000 annually. In contrast to most companies that have a minimum monthly income, Upstart is a good choice for people whose employment fluctuates over the course of the year.

Upstart can refinance cars up to 12 years old and with up to 140,000 miles, which are higher numbers than some of its competitors accommodate. It also has a low minimum threshold for refinancing, with refinance loans that start at $3,000, although its maximum loan amount of $60,000 is lower than most in the industry.

---

Why we chose it: Upgrade offers flexibility and potentially high monthly savings. Borrowers who refinance a car loan through the site save an average of $169 per month, according to the company. You can prequalify for a loan without a hard credit pull, which not all auto refinance options provide.

Upgrade is a good choice for borrowers with less-than-stellar credit; the company accommodates scores as low as 600, and its minimum APR of 5.54% is better than many of its competitors — although note that you need to sign up for autopay in order to get the most favorable interest rate.

Borrowers can refinance loans on cars as old as 10 years, and with up to 130,000 miles. It’s not available in Iowa or the District of Columbia.

---

Why we chose it: OpenRoad Lending is our pick as the best auto refinance loan marketplace because it offers options to drivers seeking to refinance loans on older or higher-mileage cars. OpenRoad Lending can accommodate cars up to 12 years old and with up to 160,000 miles.

While you need a minimum monthly income of $2,000, the company says it can accommodate borrowers with credit scores as low as 580. OpenRoad Lending offers loans ranging from 36 to 84 months, and borrowers can refinance between $7,500 and $100,000.

The company says borrowers save an average of $105 per month after refinancing, although there is a $249 service fee. OpenRoad Lending is also not available in Alaska, Connecticut, Hawaii, North Dakota, Nevada or Wisconsin.

Additionally, customer service agents are available to anyone in need of guidance throughout the auto refinance process, a company representative tells Money. Co-borrowers are also permitted, which could improve the chances of approval.

---

Other Auto Refinance Companies We Considered

We assessed the following companies, which — while worthy in some ways — fell short of our picks for the reasons we cite. Four other companies did not respond to repeated requests for updated information and so were dropped from consideration: Caribou Lending, Consumers Credit Union, Autopay and OneMain Financial.

---

Auto Approve

Borrowers approved for auto loan refinance through Auto Approve save an average of $148 monthly, company representatives tell Money. You’re not required to provide your Social Security number to receive a quote.

Why Auto Approve didn’t make the cut: The document fee ($488), and minimum monthly income ($2,000) are both a little higher than what’s charged by other companies.

---

Bank of America

Bank of America lets you lock in your rate for 30 days so you can shop around. It also offers an interest rate discount to members of its Preferred Rewards program, but its minimum APR of 6.09% is higher than many other lenders.

Why Bank of America didn’t make the cut: Its annual percentage rates are higher and its monthly savings claim ($60) is lower than many other companies in our top picks.

---

Capital One

Capital One offers potential customers the opportunity to pre-qualify for an auto loan refinance with only a soft credit pull. Capital One also has an app available (called the “Auto Navigator”) for iOS and Android, through which potential customers can shop for cars and financing options.

Why Capital One didn’t make the cut: Auto refinance borrowers may be required to pay down the balance of their current car loan if their payoff amount is higher than the company’s limits.

---

Navy Federal Credit Union

Navy Federal Credit Union has favorable interest rates — APRs are as low as 4.09% on new cars and 4.99% on used cars — but you need to join the credit union to refinance your vehicle, and eligibility is restricted to people who are members of the military, veterans and family members.

Why Navy Federal Credit Union didn’t make the cut: Navy Federal’s eligibility is restricted, and its average savings claim of $62 is lower than many other companies we evaluated.

---

PNC Bank

PNC Bank has a user-friendly website and a straightforward application process, but it has a more limited geographic footprint than other providers we evaluated, and its 5.94% minimum APR is on the high side.

Why PNC Bank didn’t make the cut: Compared to other companies in our top picks, starting annual percentage rates for auto loan refinance at PNC Bank are above those of many of its competitors.

---

What You Need to Know About Auto Refinance

Refinancing can give access to better interest rates if your credit history has improved since taking out your current auto loan. However, it’s not a decision to be made lightly, as it may mean additional fees and a hit to your credit score.

How does refinancing a car work?

Refinancing a car works in two ways: traditional auto refinance and cash-out refinance.

Traditional auto refinance

Refinancing a car generally means taking out a new loan to pay off the balance on your existing vehicle loan, ideally for a lower rate. Since your original loan is replaced by a new financial obligation, you get a new APR and new term length.

As an added bonus, your car insurance premiums are likely to go down as well. If you’re looking to change insurers, you can also check out our list of the best car insurance companies.

Cash-out auto refinance

A few auto refinance companies also offer cash-out auto refinances, in which your new loan covers your existing balance and provides an additional amount of money. While a cash-out refinance may have lower interest rates than other options, such as personal loans or credit cards, your monthly payments will go up.

Auto refinancing pros and cons

Auto refinancing requirements

Before beginning the process, it’s important to make sure refinancing is the right solution for you and whether you meet the qualification requirements. Carefully consider the following:

• Your existing loan’s prepayment protocol - Check your existing auto loan agreement to find out if you’ll be penalized for paying early. (This is called a prepayment penalty.) If so, crunch the numbers to see whether an auto refinance makes sense.
• Loan balance versus your car’s market value -Your loan balance is higher than the car’s market value. If you’re “underwater,” or owe more than the car is worth, many lenders won’t consider you for an auto refinance loan. (You can check your car’s value on Kelley Blue Book.)
• Vehicle age and its mileage -Auto refinance lenders have restrictions you’ll have to meet. Many won’t offer loans for cars more than 10 years old or that have over 120,000 miles.
• The status of your current loan payments - Your loan payments should be up to date. If you’re behind on payments, many lenders won’t consider you a viable candidate.
• The balance of your current loan - Each lender has a maximum and a minimum loan amount they’ll refinance. If your loan’s current balance is too low or too high, you may not qualify. Many loan providers also have minimum loan amounts (and maximums) to consider.
• The kind of car you have - Generally, auto refinance companies won’t refinance cars that are “branded,” meaning rebuilt, salvaged or commercial vehicles.

When can you refinance a car loan?

This decision depends on a number of factors. While a refinance is technically possible on a new loan, there are some conditions under which it makes the most sense.

When your current deal isn’t great

Thanks to global shipping issues and high demand, and if you didn’t do some careful comparison shopping between lenders or dealerships when you bought your car, your loan may not have the best repayment terms or rates.

For instance, if your current APR is around 20-25%, you might be able to get a better offer by shopping around. This is particularly true if your loan is two years older or more, as many loans with high APRs charge most of the interest amount during that time period.

When your credit score has gone up

An improved credit score will likely give you access to much better repayment terms and lower interest rates. If your score was 640 when you received your original vehicle loan, your credit score was considered fair by FICO standards, and you likely committed to a high annual percentage rate. However, once you reach good credit (670) status or better, auto loan refinance companies may offer a better annual percentage rate and more favorable repayment terms.

When your current loan payments are too high

An auto loan refinance provides an opportunity to lower your monthly car payment. This is achieved through extending the life of your loan, which means you’ll pay more interest over the long run. But for those who need more room in their monthly budget, a drop in their car payment could be helpful.

For example, consider an original loan for $45,000 with a term length of 60 months at a 6.3% annual percentage rate. The monthly payment for this loan would be $876. If you refinance at 84 months at the same annual percentage rate, your payment drops to $664 — a savings of more than $200 monthly.

However, a longer term means you’ll pay more interest than you would have with the original loan. In the first scenario, the interest total is $14,175. Extending the loan term to seven years as opposed to the original five years means you’ll accrue $19,845 in interest owed — an increase of $5,670.

How to refinance a car loan

Once you’ve weighed your options and decided a refinance of your current loan is the way to go, follow these simple steps.

• Check your credit score - If you have good credit, you'll likely get a better deal. This may be a good time to ensure there is no incorrect information in your credit report.
• Gather all the information about your current auto loan - Having all your information at hand will help speed the application process.
• Research new lenders and compare rates - While it may take some time, thoroughly researching auto loan refinance lenders and loan offers to find the best offer can not only help you compare rates, but also identify any potential red flags. You can also see whether your current lender offers a competitive auto loan refinance option, but keep in mind that some lenders will not refinance loans from their own company.
• File for prequalification - Getting a pre-approval, when available, presents you as a good candidate for a refinance.
• Submit an application - Once you've gathered all your documents and have chosen a lender, it's time to apply. Many lenders offer an online application.
• Evaluate the terms - Carefully read the fine print about loan terms. Check whether you can keep your current insurance policy under the new lender’s requirements.
• Finalize the loan - Remember to keep making your payments on your existing auto loan until the new auto refinance loan is finalized.

Documents needed to refinance an auto loan

To refinance any kind of loan, some documentation is required. These pertain to personally identifiable information, income, residence and your car’s specifications, among others.

Here’s a detailed list:

☑ Social Security number
☑ Employment information
☑ Residence information
☑ Driver’s license
☑ Car registration and mileage information
☑ Proof of insurance

Does refinancing a car hurt your credit?

Refinancing a car can have a temporary impact on your credit score. When you apply for prequalification to assess potential offers, lenders typically conduct a soft pull, which won’t hurt your credit score. However, when you formally apply for an auto refinance loan, lenders will perform a hard pull, or a hard inquiry, which may lower your credit score.

To mitigate the potential impact on your credit score, make sure to shop for loans within a 14 to 45-day window. Credit bureaus will count these inquiries as a single pull, minimizing the impact. Additionally, the effect of a credit pull typically drops off in about two years.

Note that making on-time payments on your auto refinance loan can actually improve your credit score in the long run; this shows lenders you’re a responsible borrower.

If you’re still unsure about the difference between a hard or soft credit inquiry, read our explainer here.

How to refinance a car loan with bad credit

You must have a minimum credit score of 640 if you hope to get the lowest rates on an auto refinance loan. However, just like when you seek to get a car loan with bad credit, there are lenders that specialize in auto loan refinance for bad credit borrowers. Here are some cases in which refinancing may still be helpful, even if you have poor credit:

• If auto loan rates have gone down - Even with bad credit, you may still be able to find a lower rate or better loan terms if the market has improved since you purchased your original loan.

• If your goal is a lower monthly payment - If your main driver in refinancing your auto loan is decreasing your monthly payment, this may mean extending your loan term. The downside is that this will extend the life of the loan, and you’ll therefore pay more in interest as well.

If you’re determined to refinance your car loan despite a spotty credit history, follow the steps outlined above. It may make sense to check out competing offers on an online marketplace of lenders that refinance auto loans, such as LendingTree or RateGenius. You may also be able to get better rates with a lender that allows you to add a co-signer to your loan.

Another option is to consider debt consolidation, which can streamline your loan payoff strategy.

Finally, if you can’t find a good deal, taking steps to fix your credit may end up being your best move in the long run. An improved credit score will affect every area of your finances, not just your auto loan refinance offers. While most credit repair strategies are possible to do yourself, if the time commitment is too high, you may want to check out our list of the best credit repair companies.

Methodology

To create our list of the best auto refinance companies, we conducted more than 300 hours of research and vetted companies according to multiple data points, including:

• Annual percentage rates - We search for the most competitive rates in the industry.

• Company offerings - Not all auto refinance companies are the same, and so we investigate each company’s offerings independently.

• Eligibility requirements - We categorize auto refinance companies based on eligibility requirements, making sure we offer options for a range of financial situations.

• Customer experience - We review each company’s complaints with the Consumer Financial Protection Bureau (CFPB), Better Business Bureau (BBB) and the Federal Trade Commission (FTC). We also study third-party review sites for customer feedback.

• Interviews with company representatives - We regularly speak directly with representatives from multiple auto refinance companies to confirm data and get additional details about fees, the application process and more.

• Financial stability - We consider each company’s financial stability to ensure the company can meet their refinancing obligations.

Although we always try to include accurate and up-to-date information on regulatory and legal actions, we don’t claim this information is complete or fully up to date. Annual percentage rates are subject to change. As always, we recommend you do your own research as well.

Summary of Money’s Best Auto Refinance Companies of 2025

The companies listed below are in alphabetical order.

• PenFed Credit Union - Best Overall
• Gravity Lending - Best for Customer Service
• myAutoloan - Best for High Credit Scores
• Upstart - Best for Low Credit Scores
• Upgrade: Best for Average Savings Claim
• OpenRoad Lending - Best Marketplace