When refinancing may not help
Sometimes the right answer is “not now.” This page lists common patterns where refinancing may not materially improve the outcome, based on tradeoffs and timing.
Common patterns
- Small APR improvement (the math barely changes).
- High fees that take a long time to recover (long break-even).
- Lower payment driven mainly by extending the term.
- High loan-to-value (LTV) that limits eligibility or pricing.
- A very new loan (some lenders require seasoning).
A practical next step
If you are unsure, run multiple scenarios (conservative to optimistic) and focus on total cost and break-even timing. If the result is borderline, re-check later with updated payoff and vehicle value.