Refinancing your auto loan can be a smart move—but only if the timing is right. For many Pennsylvania drivers, market conditions and improved credit scores open doors to lower rates and smaller monthly payments. The team at Rafferty Subaru helps you navigate Subaru financing with clear, practical guidance so you can decide whether refinancing your current loan is worth it.
Credit Score Requirements for Refinancing
Your credit score plays a big role in what kind of refinancing rate you can get. Most lenders look for scores above 660 for the best offers, but improvement over time matters more than the exact number. If you’ve made consistent on-time payments for a year or more, your score has likely risen since you first financed. Keep in mind that refinancing triggers a hard credit inquiry, which can cause a small, temporary dip. However, that effect fades quickly, especially once your new, lower rate helps you build an even stronger credit history.
When Should I Refinance?
Refinancing typically makes sense if your new interest rate is at least one percentage point lower than your current one. For example, dropping from 7.5 percent to 5.5 percent on a $30,000 balance can save roughly $50 a month, or around $2,000 over the life of the loan. But if you’re close to paying off your vehicle, the fees and paperwork may not be worth it. Similarly, extending your term might make your payments smaller, but it increases the total interest you’ll pay over time.
Refinance with the Subaru Financing Pros
At Rafferty Subaru, we make refinancing straightforward and transparent. Our specialists review your credit, rates, and remaining loan term to help you choose the option that fits your financial goals. Whether you want to reduce your payments or pay off your Subaru vehicle faster, our team is here to guide you toward smart, sustainable financing.
