If you already have a car loan with bad credit, but you suspect that you are paying too much, then you can have a look at the financing of different lenders. If it turns out that you are paying more than it would be with another lender, you can consider transferring your car financing to a lender that is therefore cheaper. This is called refinancing. Of course you have already repaid part of your car financing. The part that has already been repaid no longer needs to be included in your car financing that you want to take out with the new lender.
In fact, after taking out your car loan, it is always wise to look at the interest rates of other lenders every now and then. After all, these could just change, which may make it more beneficial for you to refinance your car loan with another lender. Many people take out their car financing and then stop looking at it and simply pay their costs each month until the loan is fully repaid. By occasionally reviewing interest rates, you may be able to ensure that you will pay less for your car financing than you already did.
How high is your car financing?
How much you will eventually be able to borrow depends on the income you have. Also the income of your partner, if you have it, is included in this and if you therefore have 2 incomes it will in many cases be sooner possible to get a large loan from your lender. In fact, you can see through a car financing simulation whether a loan is too high for you or not because of the monthly costs that come out of the simulation. If these are not so bad and if you think that they are affordable, then there is also a good chance that a lender thinks so too. Of course, this does not always have to be the case. What is always taken into account in the costs of a car loan is that, in addition to being able to repay the costs, you must also be able to have more than enough money left to live well. So certainly do not think that if you have 400 euros each month you can spend all of this on the costs of car financing, because this is of course not very handy. After all, you should always see some money left over for things that you could not have counted on beforehand, such as a household appliance that suddenly breaks down. So make sure that the costs of your car financing do not consume all the money that you have left over every month.