Consumers Save Record Amount in 2021 When Refinancing Auto Loans
AUSTIN, Texas, Sept. 30, 2021 (GLOBE NEWSWIRE) -- RateGenius, one of the largest providers of auto refinance loans in America with a network of over 150 auto loan lenders on its platform, announced today consumers have saved more per month and annually this year than any other year based on data going back five years.
RateGenius analyzed over half a million completed, anonymized auto loan refinance applications made between Jan. 1, 2015, to June 30, 2021.
Historic Auto Refinancing Conditions
The Federal Reserve has kept interest rates near historic lows since the start of the COVID-19 pandemic, which has trickled down to some of the largest rate spreads and most favorable auto refinancing conditions on record. Average refinance interest rates have remained low throughout 2021 and fell even further during the first half of the year from 2020’s rates.
Average interest rate spread, the difference between the original loan compared to the refinanced loan, also reached an all-time high in 2021 with an interest rate decrease of 6.3%, a metric that has been constantly rising in every six-month increment dating back to the second half of 2018 when it was 4.2%.
As interest rates remain low, monthly savings are continuing to rise from refinancing a loan. Average monthly savings at the end of June 2021 rose above $92, a new all-time high since records began in 2015. Meanwhile, total annual savings from auto refinancing for Q1 and Q2 of 2021 remained above $1,200.
“We’re in the midst of a truly historic time for the auto refinance industry, it’s never been a better time for consumers to consider refinancing their auto loan,” said Christian Lavender, Chief Product Officer at RateGenius. “There are several reasons why consumers may have ended up with an unfavorable auto loan. Whether it’s not doing research in advance of purchasing a car, settling with the dealer’s default lender, their credit score has improved, or just bad timing when it comes to interest rates, we offer consumers an opportunity to save considerable amounts of money by providing them access to a network of over 150 lenders nationwide to find a better loan.”
For up-to-date auto refinance rates for more loan terms, please visit: https://www.rategenius.com/auto-refinance-rates
RateGenius analyzed data on customer applications for auto loan refinancing madebetween Jan. 1, 2015, to June 30, 2021. This data set included over half a million anonymized completed auto loan refinance applications. We examined annual savings, changes in interest rates, average credit scores, amount of debt, breaking the figures down by state, city, and vehicle make, model and class. If you’re interested in exploring a story angle or specific data points that have not been included in this press release, please contact Corbin Mihelic at firstname.lastname@example.org.
To view pre-qualified refinance offers anonymously without having to input any personal information, check out RateGenius’ new Loan Finder tool at rategenius.com/loan-finder.
RateGenius is a technology company that has created a proprietary, web-based platform that has assisted hundreds of thousands of consumers nationwide in refinancing auto loans to more favorable terms. By utilizing its network of more than 150 lenders, RateGenius has successfully facilitated more than 400,000 loans worth more than $9 billion. The company’s proprietary LOS (loan origination system), educational content, and customer-experience-focused business approach have been instrumental in its success. RateGenius’s online application is quick, simple, and available from the comfort of your home at apply.rategenius.com.
About The Savings Group
The Savings Group, parent company of RateGenius and AUTOPAY, is the most diversified consumer marketplace for automotive finance, refinance and protection plans. Through a network of more than 180 lenders across all 50 states, The Savings Group provides consumers even more choices for their origination and refinanced auto loans, while also delivering loan volume growth to its lender network and partners through a proprietary, web-based platform. The combined company will facilitate over $2 billion in automobile financing transactions in 2021, with more than 550 employees between its Austin and Denver office hubs.
Corbin Mihelic – CSG
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