I went through this same thing back in 2001 and Ford was not reporting my account, all it took was a simple phone call and they updated the information on the bureaus.

If your lender will not do this, you will have to have proof that you have been making the payments to be approved for a refinance loan.

If you do get refinanced, it will help your credit as long as your lender reports to the credit bureaus.

Hello there. Recently I wrote an article about car loans to be published on one of my sites, and I thought I’d share some of it with you. It is fairly general but should address your question.

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If this is not your first time buying a car, then you may be well aware of the various steps that you have to take as well as the pitfalls to avoid. If however, this is your first time around, you may not be aware of this. So here are some guidelines that will help make your car purchase a smooth one:

Know exactly what type of car you want and how much you are willing to spend on it. Use the power of the Internet to do your research. Do not start off with a blank cheque. Always bear in mind that a car loan generally requires a medium to long term financial commitment. You should therefore look at this expenditure with a very futuristic view. You should also factor in as well, the possibility of unexpected expenses such as accident, illness etc.

Always know what your credit score is in advance. This will ultimately determine if lenders will be willing to lend you and how much. Very recently, I met someone who took it for granted that all was well with their credit score. When he applied for the loan, he had serious problems. There were transactions on his credit report that he knew nothing about, and these damaged his credit rating. It turned out that he was a victim of identity theft and was completely unaware of it. So even before approaching any finance house for a loan, please get into the habit of checking your credit score on a regular basis. It can save you a lot of stress.

Shop around for the lowest rate car loan you can find. Car loan repayments are calculated using an amortization schedule. You will be given a fixed monthly payment to make, part of which will be paid towards liquidating your outstanding interest and the rest towards your principal. As the age of the loan increases, the interest accrued each month will decrease resulting in more of your payment going towards your principle. But the point here is that a seemingly small change in the interest rate can significantly impact on the total amount you pay over the term of the loan, particularly for a medium to large principle burrowed.

Most dealers will also offer financing. Always remember that they offer financing on behalf of some financial institution and will get a cut for each loan they get. You will have to pay for that cut. It will be included in the total amount you will pay over the duration of the loan. Even though it may appear to be more convenient and saves you time, it will definitely cost you more. It is therefore better to get financing for your car loan directly from a bank or financial institution.

If you are looking at refinancing an existing loan, first ensure that everything is in order – particularly if you are seeking to refinance after filing for bankruptcy. I must repeat – keep your eye on your credit report.

Be truthful in filling out the application for the car loan. Do not try to burrow more that you can comfortably afford. This will backfire on you and could negatively impact on your credit score. If the car you want is more than your credit rate allows, then settle for less while you build on your credit score and you savings.

Best Regards