Car Loan Refinance Calculator. See Your Savings
Find out how much you could save by refinancing your car loan to a lower rate. Enter your current loan details and compare with rates from our panel of 50+ lenders.
When is it worth refinancing a car loan?
Refinancing is usually worth it when your current rate sits more than one to two per cent above what is available now, your credit has improved since you borrowed, or you took dealer finance. It makes less sense with under six months remaining or when exit fees exceed the saving.
- Refinancing replaces your existing loan with a new one, ideally at a lower rate
- It generally suits borrowers with 12 or more months remaining and a balance above $10,000
- Exit fees on the current loan and establishment fees on the new one are counted before you decide
- Most refinances are approved within one to two business days and settle within a week
- A credit enquiry is recorded when the new lender assesses the application
- Free assessment with no credit file enquiry until you choose a lender
Reviewed by Simple Loans Editorial Team · Last reviewed
The Simple Loans Editorial Team researches and reviews every car finance guide published on simpleloans.au. Simple Loans holds Australian Credit Licence 509582 and is a member of AFCA.
Why choose Simple Loans.
Instant Savings Estimate
See potential monthly and total savings in seconds.
Compare Your Rate
Benchmark your current rate against what's available today.
Free Refinance Assessment
No cost, no obligation assessment of your refinance options.
50+ Lenders Compared
We search our full panel to find a better rate for you.
No Hidden Fees
We factor in any exit fees or costs to give you a true picture.
Quick Process
Refinancing is often simpler than your original loan application.
How Car Loan Refinancing Works
Refinancing your car loan simply means replacing your existing loan with a new one, ideally at a lower interest rate or with better terms. The process is straightforward:
- We assess your current loan: rate, balance, remaining term, and any exit fees
- We compare your current deal against rates from 50+ lenders on our panel
- If we find a better deal, we present you with the potential savings
- You decide whether to proceed, no obligation
- We handle the entire switch: new loan setup, old loan payout, and security transfer
The whole process typically takes 5-7 business days from application to completion, and we handle all the paperwork.
When Refinancing Makes Sense (And When It Doesn't)
Refinancing isn't always the right move. Here's how to know:
Refinancing makes sense when:
- Your current rate is more than 1-2% above what's available now
- Your credit score has improved since your original loan
- You got dealer finance and haven't shopped around since
- You have at least 12+ months remaining on your loan
- Your remaining balance is $10,000+ (smaller amounts may not justify the effort)
Refinancing may NOT make sense when:
- Your current rate is already competitive
- You have less than 6 months remaining on your loan
- Exit fees on your current loan exceed the potential savings
- Your remaining balance is very small ($5,000 or less)
Our free assessment considers all these factors and gives you an honest recommendation, even if that recommendation is to stay with your current loan.
Real Refinancing Savings
Refinancing can deliver significant savings, particularly if you originally financed through a dealer or your credit profile has improved since your original loan was taken out.
Clients who switch from dealer finance to a competitive lender could save you thousands over the life of the loan. Even a modest rate reduction adds up on larger balances.
A Simple Loans specialist will calculate your potential savings and confirm your actual rate before you commit to anything.
How it works.
Enter Your Current Loan Details
Tell us your current rate, balance, and remaining term to calculate potential savings.
We Find Better Rates
We compare your current deal against rates from 50+ lenders on our panel.
Switch & Save
If we find savings, we handle the entire refinance process, including paying out your old lender.
Frequently asked questions.
When should I refinance my car loan?
Consider refinancing if: your credit score has improved since you got your loan, interest rates have dropped, you're on a high dealer finance rate, or you want to change your loan term. Even a 1-2% rate reduction can save thousands.
Are there costs to refinance a car loan?
There may be exit fees on your current loan (especially fixed rate) and establishment fees on the new loan. We calculate all costs upfront so you can see the true net savings before deciding.
How much can I save by refinancing?
Savings depend on your current rate, remaining balance, and the new rate available. On a $30,000 loan, reducing your rate by 2% could save over $1,500 in interest. Use our calculator for your personalised estimate.
How long does refinancing take?
Refinancing a car loan is typically faster than the original application. Most refinances are approved within 1-2 business days and settled within a week. We handle the payout of your old lender and transfer of security, you don't need to do anything.
Will refinancing affect my credit score?
There will be a credit enquiry on your file when the new lender assesses your application. However, if you're making consistent repayments, this minor impact is far outweighed by the potential savings from a lower rate.
Can I refinance if I'm upside down on my car loan?
Being 'upside down' (owing more than the car is worth) makes refinancing more challenging but not impossible. Some lenders will refinance up to 120-130% of the vehicle's value. We assess your specific situation and advise on your options.
Ready to get started.
Free assessment, no upfront costs. We compare 50+ lenders to find you the best deal.
Simple Loans is a finance comparison tool. Holder of Australian Credit Licence No. 509582. All applications are subject to lender approval. Terms, conditions, fees and charges apply. This information is general in nature.