Refinancing

Why is Refinancing Beneficial?

Seeing an example of how refinancing can help you save may put things into perspective.

If you were to take out a car loan for $30,000 over 72 months with an interest rate of 6.99%, your estimated monthly payment would be about $513. If you continued to make every payment of $513 until your loan is paid in full, you would pay a total of about $36,936. After 6 months, assuming you make all your payments on time, your loan balance would be down to about $27,500. Now, if you were to refinance at that time and get a loan of $27,500 for the remaining 66 months with a lower interest rate of 3%*, you'd end up paying a total of about $30,725 on that loan. When you add that to the amount you already paid on the original loan, your total cost would be about $33,803. That's $3,133 less than what you would have paid on the original loan.

Northtown is fortunate enough to have an extraordinary Finance Department that is willing to not only help you save potential thousands, but also willing to do it at no charge to you! Let us do the work for you here at Northtown!

*Rate subject to approval. Contact Northtown for more information.