Your car payment does not have to stay the same for the life of the loan. If rates have dropped or your credit has improved since you bought, refinancing could lower what you pay each month.
The trick is knowing which lenders to compare. Here are some of the best auto refinance companies and what they offer as of July 2026.
Why Refinancing Your Auto Loan Can Pay Off
Refinancing replaces your current loan with a new one, ideally at a lower rate or a better term. As of July 2026, the average rate on a 60-month new-car loan sits near 6.9%, with used-car loans often higher, according to Bankrate.
Borrowers who refinanced in early 2026 cut their rate by about 2.24% on average and trimmed roughly $81 off their monthly payment, based on industry data. Your results can vary. Terms apply; APRs vary by creditworthiness.
Refinancing tends to pay off most when rates have fallen, your credit has improved, or your original loan came with a high rate.
Our Top Picks
These five options are worth comparing as of July 2026. Rates change often, so treat them as starting points rather than promises.
iLending — a refinance service that shops your loan across 60+ lenders. Clients save an average of about $148 a month, and it works with scores as low as 560. Best for: drivers who want one application to reach many lenders.
myAutoloan — an online marketplace with 20+ lenders and refinance APRs starting near 3.99% for well-qualified borrowers. Best for: people who want to compare several refinance offers fast.
PenFed Credit Union — charges no origination or document fees, with some refinance APRs starting around 3.39% for the shortest terms. Best for: members who want low fees and low rates.
Capital One Auto Finance — lets you prequalify with a soft credit check and offers terms up to 84 months. Best for: shoppers who want to check a rate without a hard inquiry.
MoneyLion — a loan-comparison marketplace that pulls offers from several lenders in one place. Best for: borrowers who want many quotes side by side.
Refinancing That Shops Many Lenders for You
iLending is not a single bank. It is a refinance service that takes one application and shops it across a network of 60+ lenders, then brings back offers.
Two features stand out. It works with credit scores as low as 560, and decisions can come in as little as 24 hours. Borrowers may also be able to skip 45 to 90 days of payments while the new loan is set up.
If you want the reach of many lenders without filling out many forms, iLending is a strong first stop.
A Marketplace Built for Comparison
myAutoloan is an online marketplace that connects you with 20+ lenders. It covers new-car, used-car, private-party, refinance, and lease-buyout loans, so it fits a range of needs.
For well-qualified borrowers, refinance APRs can start near 3.99%, though your rate depends on your credit and term. Terms apply; APRs vary by creditworthiness.
Because it delivers multiple offers quickly, myAutoloan is handy when you want to compare refinance quotes without a lot of legwork.
myAutoloan
myAutoloan
Find the right auto loan in minutes — even with bad credit. myAutoloan connects you with 20+ lenders to compare personalized offers for new cars, used cars, refinancing, and lease buyouts. Free to use with no obligation.
Standout feature
Compare offers from 20+ lenders. Works with bad credit. BBB A+ rated.
Fees
Free
Pros
Free to use with no obligation. Works with all credit types including bad credit. BBB A+ accredited.
Cons
Some users report receiving calls from multiple dealers after applying.
Gathering Several Offers in One Place
Sometimes you want to look beyond auto-only lenders. A broader marketplace can help you weigh more choices at once.
MoneyLion is a loan-comparison marketplace that gathers offers from several lenders in a single view. If you would rather compare many quotes side by side before deciding, MoneyLion makes that easier.
MoneyLion
MoneyLion
Compare personal loan offers from top providers in minutes with no credit score impact with the MoneyLion Marketplace.
Standout feature
Soft-pull marketplace that surfaces prequalified personal loan offers from a network of lenders, with options up to $100,000 and partners that work with fair and bad credit
Fees
Free to use the marketplace
Pros
Compare multiple lender offers in minutes; soft credit pull to prequalify — no impact on your score
Cons
Final approval requires a hard pull from the chosen lender
Best Auto Refinance for Bad Credit
Refinancing with lower credit is possible, though your rate will likely be higher. Focus on lenders and services that accept a wider range of scores.
iLending, for example, works with scores as low as 560, which can open the door when big banks say no. Improving your credit before you apply can also help you land a better rate.
How Refinance Companies Compare
Here is a quick look at the picks side by side.
| Company | Type | Standout feature | Best for |
|---|---|---|---|
| iLending | Refinance service | 60+ lenders, accepts 560 scores | One app, many lenders |
| myAutoloan | Marketplace | New, used, refi, lease buyout | Fast side-by-side offers |
| PenFed | Credit union | No origination or doc fees | Low-fee members |
| Capital One | Bank | Soft-pull prequalification | Checking a rate safely |
| MoneyLion | Marketplace | Many lenders in one view | Broad comparison |
Rates and terms shown by each lender depend on your credit, loan amount, and vehicle. Compare a few before you commit.
Frequently Asked Questions
Is refinancing my car worth it?
It can be, especially if rates have dropped or your credit has improved since you bought. Even a small rate cut can lower your monthly payment and total interest. Run the numbers on any fees to make sure the savings are real.
Will refinancing hurt my credit score?
A refinance usually causes a small, temporary dip from the hard credit check. Many services let you prequalify with a soft pull first, which does not affect your score. Making on-time payments on the new loan can help your credit over time.
Can I refinance a car with bad credit?
Yes, though your rate will likely be higher than for borrowers with strong credit. Services like iLending accept scores as low as 560, which widens your options. Improving your credit before applying can help you qualify for a better rate.
How soon can I refinance after buying a car?
There is no fixed rule, but many lenders prefer to wait 60 to 90 days after the original loan starts. Waiting also gives the title time to process. If rates have fallen or your credit has jumped, refinancing sooner may still make sense. Terms apply; APRs vary by creditworthiness.
