A decision as important as refinancing a car will depend on a number of individual factors

That said, you may want to give it more serious thought in the following cases

Interest rates have dropped since you got your original auto loan

Interest rates change regularly

So your original The rate is likely to decrease after getting the auto loan.

Even a drop of 2 or 3 percentage points can add significant savings over the life of your loan

Let's say your original auto loan was $25,000, with an interest rate of 7% and a loan term of 60 months

If you keep this loan, you'll pay a total of $29,702 on the loan.

After making payments on this loan for one year, your balance is now $21,000