What To Do If Your Auto Refinance Application Is DeniedSaturday, September 10, 2011 12:31
Having your auto loan refinance application disapproved can really put a damper on your plans. Although most lenders will at least give you the reason that your application was denied, sometimes things can still be out of your control. You will need to come up with a plan of action if you intend on getting your car loan payments down to a reasonable level. First, determine if you want to reapply with the same car refinancing company. If their criteria is too strict and you believe that you will be denied again despite your best efforts, it is a good idea to just move on.
After you have figured out why your application was not approved, you will have to come up with a way to remedy your shortcomings. Applicants with credit issues can either try to repair their credit files, or they can find another person with a higher score. This should be a person that you trust, like a spouse or a relative. If you application was denied because you don’t have enough income, you will really need to think about every source of money that you have. Alimony, child support, SSI and other long-term insurance benefits can be calculated. You have to think to yourself, in order to refinance my car, I will need to get my application approved.
Lastly, reconsider your refinance loan company options. If your end goal is simply to lower your payments, you will need to find a lender that has clear criteria. Submitting another application might seem like a hassle, but you have to keep your eyes on the prize. You will be happy that you didn’t take no for an answer when you see the terms of your new car refinance loan. Being diligent and looking for different options will pay off when you spend less money on your car.