For most people, a car is their second largest expense, only behind housing. Instead of buying their vehicles outright, most people opt for financing. If you make the monthly payments until the end of the term, you will eventually become debt-free.
However, financial circumstances change. Vehicle loans only stretch out for a few years, but the terms you receive can significantly impact your monthly expenses. Some people need to free up space in their monthly budgets for other expenses and have to refinance their auto loans. Other people saw their credit scores increase significantly over the past 1-2 years and now want lower interest rates for their auto loans.
Borrowers who need refinancing turn to successful lenders like OpenRoad Lending to get new loan terms. OpenRoad Lending offers vehicle owners the opportunity to secure better rates and terms through a refinance. This review will cover who OpenRoad Lending serves, the company’s strengths, and some key details to keep in mind.
What is OpenRoad Lending?
OpenRoad Lending is an auto refinancing company that helps consumers refinance their cars, light trucks, minivans, and SUVs. The company only offers refinancing for vehicles that are for personal use. OpenRoad Lending has been around since 2009 and has originated more than three billion in auto loan receivables. The company has helped borrowers save roughly $800 million.
Who is OpenRoad Lending Best For?
OpenRoad Lending is best for people who need to refinance their vehicles. Some people refinance their vehicles to secure a lower interest rate or reduce their monthly payments by extending the loan’s duration. Other borrowers want to get out of debt sooner and opt for a shorter loan duration in exchange for higher monthly payments.
Consumers have many reasons to request a refinance from a trusted auto lender. However, the lender doesn’t accommodate every vehicle. Your model cannot be older than eight years, your current mileage cannot exceed 140,000 miles, and you must also fulfill other requirements. OpenRoad Lending also lists vehicles it does not refinance, such as motorcycles, ATVs, RVs, boats, motor homes, and others.
What Does OpenRoad Lending Offer?
OpenRoad Lending provides various financial products and services that can help you on the journey to refinancing your auto loan. These are some of the highlights.
Auto Loan Refinance
You can refinance your auto loan and get terms that align with your finances. Consumers can extend the duration of their loans to reduce monthly payments. Securing a lower interest rate due to a high credit score can also minimize the monthly payments. OpenRoad Lending gives borrowers many paths to an auto loan refinance. The minimum loan amount in most states is $7,500. Auto refinance loans can get as high as $100,000.
Auto Buying Service
OpenRoad Lending has a network that helps consumers find new and used cars. You can discover how much people have previously paid for the model, access free CARFAX reports, search from extensive inventories and enjoy a hassle-free experience. OpenRoad Lending offers a price and your Guaranteed Savings before you speak with a dealer.
Car Loan Calculator
The car loan calculator helps borrowers estimate their monthly payments based on a few inputs. You can enter the price of the vehicle, the down payment, the length of the loan (in months), and the interest rate you expect to receive. Performing this calculation can help you set more realistic expectations and decide how long to make the term. Using this calculator before applying for an auto refinance is a good idea.
Requirements to Qualify for a Loan with OpenRoad Lending
OpenRoad Lending has several requirements your vehicle must fulfill to qualify for an auto loan refinance. Here’s the list:
- Your vehicle must have an existing loan with another lender.
- The vehicle cannot have more than 140,000 miles.
- The vehicle cannot be more than eight years old.
- The maximum LTV cannot exceed 120%.
- Commercial vehicles and vehicles for business use are not eligible.
- Other restrictions also apply. For instance, motorcycles, RVs, and ATVs are some of the vehicles that do not qualify for refinancing.
You will have to provide information that verifies OpenRoad Lending’s requirements. The lender will also want your Vehicle Identification Number (VIN), a copy of your vehicle registration, information about your car insurance, the lien holder’s name, and the account number for your current car loan. The lender may also request verification of your income and residence.
OpenRoad Lending Costs and Fees
You will have to pay loan administration fees to receive the refinance. You should also be attentive to any late fees and other potential expenses outlined in the terms. OpenRoad Lending offers competitive interest rates and terms that help to keep the costs relatively low.
What is the Typical Loan Process with OpenRoad Lending?
OpenRoad Lending has a straightforward loan application process that only takes a few minutes. You will have to enter information about yourself and your vehicle. Once you fill out the form, you will receive more information from OpenRoad Lending. The lender will conduct a hard credit check to see how much you can receive. A higher credit score will help you access better terms for your loan.
What are the Benefits of OpenRoad Lending?
OpenRoad Lending offers many benefits for borrowers. These are some of the top perks:
- Save money on your refinance: You can save money on your auto loan by working with OpenRoad Lending. The lender has competitive rates and terms, and you can extend the term to lower your monthly payment.
- Wide coverage: Your vehicle model can be up to eight years old, and the lender also offers financing for old and new vehicles. The 140,000-mile limit is reasonable for the industry.
- Credit score requirements: You only need a 500 credit score to get financing with OpenRoad Lending. A higher credit score can help you obtain a lower interest rate.
- Working with a trusted lender: OpenRoad Lending is A+ accredited by the Better Business Bureau and is one of the fastest-growing companies. The lender made it on the Inc 500 List of fastest-growing businesses. Borrowers are working with a reputable lender.
- Quick application process: It only takes a few minutes to submit your application, and you can receive a decision within an hour. The approval process does not take long.
- Resources: OpenRoad Lending offers a loan calculator, blog, and other resources to help you make better financial decisions and save money.
- Good reviews: OpenRoad Lending has over 3,500 reviews on TrustSpot. These reviews average 4.7 stars, indicating the company does a good job serving its customers. A good customer support team can create a better experience and remove friction along the way.
How to Get Started with OpenRoad Lending
OpenRoad Lending has a simple application process that you can do from anywhere. You can receive a decision in as little as one hour and get started with your new loan. You can apply for an auto loan refinance by filling out this simple form. You will have to provide some basic information about yourself and the vehicle that you want to refinance.