For many car owners, refinancing an auto loan can be a smart way to reduce monthly payments or secure a better interest rate. But what if you have bad credit? While a low credit score may limit your options, the good news is that several car refinance companies in 2025 specialize in helping people with poor or fair credit.
In this guide, we’ll explore the top auto refinance lenders that are ideal for borrowers with credit challenges, offering competitive APRs, fast approvals, and flexible terms.
Why Refinance Your Car Loan with Bad Credit?
Even if you have bad credit, refinancing can help you:
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Lower your monthly payment
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Get a reduced interest rate
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Extend your loan term to ease financial strain
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Remove a co-signer
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Avoid repossession
Lenders today consider more than just your credit score. Factors like your on-time payment history, current income, vehicle value, and loan-to-value (LTV) ratio play key roles in getting approved.
Top Car Refinance Companies for Bad Credit – 2025
1. OpenRoad Lending
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Minimum Credit Score: 500
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Loan Amounts: $7,500–$100,000
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APR: Starting at 6.99% for qualified applicants
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Highlights:
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Specializes in refinancing for bad credit
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Pre-qualification with soft credit pull
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No application fee
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Best For: Quick online process and flexible credit underwriting
2. AutoPay
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Credit Score Requirement: As low as 475
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APR: Varies (competitive for subprime borrowers)
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Benefits:
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Works with a network of lenders
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Customizes loan options based on your profile
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Offers extended terms up to 84 months
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Best For: Matching borrowers with multiple offers despite credit issues
3. RefiJet
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Minimum Credit Score: 500
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Loan Types: Refinance, lease buyouts
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APR: Varies by lender (competitive even with bad credit)
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Features:
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Personalized loan concierge
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Allows co-signers to improve approval chances
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Quick approvals and funding
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Best For: High-touch customer service and bad credit support
4. LendingClub Auto Refinance
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Minimum Credit Score: 510
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Loan Amounts: $4,000 to $55,000
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Loan Term: 24–84 months
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Perks:
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Fast online application
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Pre-qualify without affecting your credit
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Great for those rebuilding credit
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Best For: Fast online application and transparent process
5. myAutoloan
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Credit Requirement: Accepts bad credit
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APR: Starts around 4.85% (depending on credit and lender)
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Platform Type: Lending marketplace
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Advantages:
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Multiple quotes from one form
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Focus on auto refinance
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Loan calculator included
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Best For: Getting multiple offers with one application
Comparison Table – 2025 Car Refinance Companies for Bad Credit
| Company | Min Credit Score | Starting APR | Best Feature |
|---|---|---|---|
| OpenRoad Lending | 500 | 6.99% | Soft credit check pre-approval |
| AutoPay | 475 | Varies | Wide lender network |
| RefiJet | 500 | Varies | Co-signer option, fast approvals |
| LendingClub | 510 | Competitive | Easy online process |
| myAutoloan | 500 | 4.85% | Multiple quotes from one form |
What to Look for When Refinancing with Bad Credit
Even with a low credit score, you can increase your odds by understanding what lenders want:
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Consistent on-time payments: If you’ve been paying your current car loan on time for 6+ months, that’s a strong positive.
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Vehicle age and mileage: Most lenders require the car to be under 10 years old and have less than 150,000 miles.
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Loan-to-value (LTV) ratio: A lower LTV means you owe less relative to the car's value, which improves approval chances.
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Income verification: Be prepared to show proof of steady income.
Tips to Improve Refinance Approval with Bad Credit
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Apply with a co-signer: A trusted co-signer with good credit can significantly improve terms.
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Check your credit report: Fix any errors before applying.
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Get pre-qualified: Look for lenders offering soft credit checks so your score isn’t impacted.
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Compare multiple offers: Don’t accept the first offer you receive—shop around.
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Consider a shorter term if affordable: Shorter terms may offer better rates.
❓ Frequently Asked Questions
Can I refinance my car loan if I’m behind on payments?
Most lenders will not approve refinancing if you are currently delinquent. However, some may work with you if your history is improving.
Does refinancing hurt my credit?
A formal application involves a hard inquiry, which may cause a slight dip. But in the long term, refinancing can help your score if it lowers your debt burden and helps you pay on time.
How much can I save by refinancing?
Depending on your original loan terms and credit profile, you could save hundreds—or even thousands—over the life of the loan.
Even if you’re dealing with a low credit score, you’re not out of options. The best car refinance companies for bad credit in 2025 make it possible to reduce monthly payments, lower interest rates, or find more manageable terms—without judgment.
Start by pre-qualifying with lenders like OpenRoad Lending, RefiJet, or AutoPay, and explore the best fit for your needs. With the right approach and patience, you can take a smart step toward better financial control.