I was helping this member with his RV application, and I told him we could refinance his auto loan at another credit union for a lower rate. He was definitely interested, so he gave me some information about his vehicle and said, “Show me numbers before I decide.” I ran some projections and was able to get his interest rate lowered from 5.79% to 2.99%. When I emailed him the numbers, he said he will pass since the payment didn’t change very much. I replied to remind him he also qualified for a 90 Day No Payment and his next reply was, “Call me!” When we spoke, he let me know he is trying to pay off another auto and if we do 90 Day No Payment on his refinanced loan, he will be able to pay that off before he starts paying us. I said, "I can make that happen!” and we even added our lower-cost GAP to the loan!
In addition to the auto refinance, we discussed consolidating some of his other high rate debts, specifically a personal loan. He was hesitant to get another loan because he was wanting to pay off the other credit union auto loan first. I explained how we could do one personal loan at a lower rate in order to combine BOTH of the other loans he wanted to pay off. We went over some more projections and he agreed it was a good idea, so we submitted the application to cover both loans and he was approved! His previous monthly payment for both loans was $945.00, and his new Qualstar loan payment is only $445.00 – a huge savings $500 a month! By combining his loans at a lower rate and extended term, he now has one lower payment instead of two and the convenience of having all his debt in one place!