Honda Refinancing (August 2025)

Paying too much on your current Honda auto loan?

By refinancing your Honda with Way.com, you could:

• Get lower Annual Percentage Rates (APRs)
• Get lower monthly payments and save money
• Change your loan’s terms and conditions
• Finance lease buyouts
• Add or remove a co-borrower or co-signer
• Sign up for hardship plans and bi-weekly payment
• Get add-ons like Vehicle Service Contracts/GAP insurance

What is Honda refinancing?

When you refinance your Honda car loan, you take on a new loan with better terms and conditions.The new lender will pay your old lender the remaining loan balance, leaving you free to pay off the new loan – usually with a lower APR and lower monthly payments.

If done right, refinancing can help you build your credit score, get your finances in order, and save more than $1000 annually!

Why should I refinance my Honda?

When your first bought your Honda, you might’ve approached Honda Financial, a bank, or another lender to finance the purchase. Amidst all the excitement, you might’ve settled for a high APR – realizing only later that you could’ve scored a lower one.

However, if your credit score and financial position have improved since then, you can refinance your Honda and save on your monthly payments!

By refinancing your Honda, you could:

• Lower your APR: Even a 1% reduction in your APR can save you hundreds of dollars annually. If you have a great credit score, you can even reduce it by 2-3%!
• Lower your monthly payment: Stop overpaying - find an amount that fits your budget perfectly.
• Add more benefits to your loan: You can add GAP, ESC, and other coverages that you missed in your original loan.
• Add or remove a co-borrower/co-signer: Having someone take a loan with you reduces the risk of default.
• Get cash-out refinancing: You can take out a loan for immediate expenses based on the amount of equity you own in the car.

How much can you save when refinancing your Honda with Way.com?

The average monthly payment in the US has crossed $600, so every penny saved on your car is valuable! When done right, you can refinance your Honda to reduce your APR by as much as 2% and save as much as $1500 every year.

You can also use cash-back auto refinancing to get fast cash for immediate expenses by using your Honda as collateral.

When should you refinance your Honda?

Refinancing should be done only when you meet most of the criteria – otherwise, it can do more harm than good! You shouldn't rush to refinance just because you realized you’re overpaying – consider refinancing your Honda in the following situations:

• If at least three months have passed since you took the original loan
• If your credit score has increased by a few points
• If you’ve become eligible for a better loan
• If your monthly expenses have increased and you want to save money
• If you want to add a co-signer to your loan
• If your car has become old and is not worth the high monthly payments

Honda Refinance Rates (June 2023)

Comparing the auto refinance rates is the first step to refinance your car. This will allow a fair comparison and will help you finalize a rate that best suits your budget. These Honda refinance rates given below will give you an idea before proceeding with refinancing your Honda all at once. It can be made use of by both prospective and current Honda owners who can gain insight into the potential savings and benefits offered by different companies that offer Honda refinance.

What Honda models can I refinance?

You can refinance almost any Honda currently being sold, including hybrid and full EVs. The most popular Honda models are:

• Civic
• Accord
• CR-V
• Passport
• Insight
• Odyssey
• Element

If you own a Honda EV or hybrid, check whether the lender allows EV refinancing.

What documents are required for Honda refinancing?

Keeping all the necessary documents ready will help smoothen the entire refinance process – from pre-qualification to final funding. Ensure you have the following ready for reference:

• Your credit score: Having a score above 660 will get you better APRs than what you currently have. You can use the one free credit report per year provided by credit bureaus to keep track of your credit score.
• 14-day payoff amount: Call your lender and ask for the remaining loan balance, including the next 14 days’ principal and interest.
• Car Loan-to-value ratio: The LTV is important to know whether you are “upside-down” or “underwater” on your car loan (i.e., owe more than what the car is worth)
• Loan term remaining: Ideally, at least 3-6 months should have passed since you took your current loan, or you should have at least one year left.
• Prepayment penalty: Make sure that your existing loan provider does not penalize you for paying off the loan early.

Also keep your personal details ready, like:

• Vehicle information: VIN, title, registration, number, and mileage
• Income information: Salary slips, pay stubs, and tax returns
• Personal information: Driver’s license and Social Security Number

Will my Honda be eligible for refinancing?

Your Honda will typically pre-qualify for refinancing if:

• It is less than 10 years old
• It has a mileage of less than 150,000
• You have a verifiable income source
• You have a valid driving license
• You have a valid registration
• You have full coverage insurance
• You have a consistent payment history on your current loan

How to refinance my Honda with Way.com

Step 1: Use an auto loan calculator to find your estimated savings

By inputting your desired APR and loan term into the online auto loan refinance calculator, you can find the estimated monthly payments on your new loan. If it is lower than your current payment, then refinancing makes absolute sense.

Step 2: Apply to multiple lenders with Way.com

Want to get the best refinance deals? Then don’t stick to just one lender – shop around with multiple lenders and compare their rates! Some of them allow you to pre-qualify based on a soft credit pull, which won’t affect your credit score.

Step 3: Choose an offer and start saving

When you find an offer you like, apply by submitting all the supporting documents and completing the application. At this point, there will be a hard credit inquiry that will temporarily affect your credit score – but you can easily make that up with consistent payments.

What add-ons can I include to my refinanced Honda auto loan?

If your original Honda loan did not have benefits like GAP or ESC, you could add them to the new refinanced loan.

• Guaranteed Asset Protection (GAP): GAP is useful if your car has been totaled in an accident and you still have a loan balance to pay off. GAP will pay the difference between the amount the insurance company pays you (based on the car’s current value) and the remaining loan amount.
• Extended Service Contract (ESC): Also called Extended Warranty or Vehicle Service Contract, it covers any unexpected mechanical and electrical issues after the expiry of your manufacturer’s warranty.

Can you refinance a Honda with bad credit?

We'd always recommend refinancing when your credit score has improved. However, if you are desperate, you can also refinance a vehicle with bad credit.

You may have to make some adjustments for bad credit refinancing, like:

• Make a larger down payment when refinancing
• Get a co-borrower or co-signer to reduce the risk to the lender
• Refinance exclusively with lenders specializing in bad credit loans
• Get a longer loan term (which could increase your interest charges)

Why our Honda Refinance Program is great for you

At Way.com, we understand that rising vehicle costs can make it hard to finance and maintain your vehicle. It’s no fun owning a car when you’re constantly worried about how much you spend from your pocket!

That’s where we come in – to make car ownership simplified. And we’re starting with lowering your car payments! With Way.com, you can easily:

• Get connected to the best refinance lenders
• Compare offers and rates from multiple lenders
• Refinance lease buyouts
• Include additional benefits like insurance, extended warranty, etc
• Refinance with a bad credit score

… and much more!

What is Way.com?

Way.com is the country’s leading car services marketplace, making car ownership affordable to millions of Americans. You can also save more than $1500/year through our super auto app and website that offers:

• Auto insurance and refinance
• Airport parking and city parking
• Car wash services
• Roadside assistance and Cashback on gas

Way.com has a 4.5 rating on Trustpilot, with more than 3 million satisfied customers. The Way app also has a 4.7 rating on Google Play and 4.9 on the iOS app store.