Subaru Refinancing (August 2025)

Find and Compare the Best Subaru Refinance Quotes in Just Minutes

If you’re the owner of a dependable Subaru, you’ll agree that it’s an excellent choice – both as a family and travel vehicle! However, unless you made the right decisions at the time of financing, it’s possible that you might be paying high monthly payments on the Subaru auto loan. Don’t worry - Subaru refinancing can help you get a better deal!

Refinancing your Subaru through Way.com can help you lower your APR and save money on your payments every month. Whether it’s the Forester or the Outback, you can find the best refinance lenders who will let you lower your rates, extend your terms, get additional benefits, and more!

What is Subaru Refinancing?

Subaru refinancing involves paying off your current auto loan and taking out a new auto loan with better terms and conditions. The new refinance lender pays off your earlier lender, leaving you free to pay a new loan with a lower APR and monthly payments.

If done right, Subaru refinancing can lower your APR by at least 2% and reduce your monthly payments by up to $100. Some lenders also offer cash-out refinancing which gives you ready cash based on your vehicle’s equity. You can even add other benefits like GAP and ESC.

Why Should I Refinance My Subaru?

Most people don’t think too much about financing when buying a Subaru. This could be because your bank or dealer gave you a loan which seemed fair at that point. However, over time, you will realize that you were saddled with a high APR and high monthly payments.

Other factors like your credit score and payment history might also have contributed to it. However, after a few months, your financial standing might’ve improved and your credit score might’ve increased, making you eligible for Subaru refinancing. Choosing to refinance can help you save at least $100 a year!

Subaru refinancing through Way.com can help you compare rates from multiple lenders, choose deals that have favorable terms (like co-borrowers, auto payments, etc.), and even get cash-out refinancing for immediate expenses.

When Should You Consider Subaru Auto Refinance?

Don’t rush to refinance your Subaru immediately after taking a loan. Here are some situations when you can consider Subaru refinancing.

• When your credit score has increased by a few points
• If you've become eligible for a better loan
• When 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

Subaru Refinance Rates (June 2023)

What Do You Need to Refinance a Subaru?

Don’t just wing it when applying for refinancing – it’s best to keep all the required details ready. These include:

• Your credit score: Maintaining a score over 660 will get you a better APR than you currently have. Also keep track of your credit score using the free credit reports from bureaus.
• 14-day payoff amount: It is the amount you owe to your current lender, including the next 14 days' principal and interest.
• Car Loan-to-value ratio: This is important to know whether you are 'underwater' on your car loan (owing more than what the car is worth)
• Loan term remaining: Ideally it's best to refinance after at least six months have passed since your initial loan a year left on the existing loan.
• Prepayment penalty: Make sure that your existing loan provider will not penalise you for paying off the loan early.

To further smoothen the procedures, you can also have your personal details ready, like:

• Car 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

How do I refinance my Subaru?

Step 1: Calculate how much you can save

First check whether refinancing will save you money or not. You can do that by using an auto loan refinance calculator to input your desired APR, or new loan term. If the projected monthly payment is lower than your current payment, it’s best to go ahead with refinancing.

Step 2: Apply to refinance lenders with Way.com

Instead of applying to just one refinance lender, shop around with several banks, online lenders, and credit unions. You can use Way.com to compare the rates from several lenders at the same time. Some lenders also offer pre-approval through a soft credit inquiry which won’t affect your credit score.

Step 3: Choose an offer and start saving!

Once you finalize your preferred offer, complete the application and submit all the required supporting documents. At this point, there will be a hard credit inquiry which will temporarily affect your credit score. However, if you are consistent in your payments, it may even increase higher in the coming months.

How do I know if my Subaru will qualify for refinancing?

Your Subaru will typically qualify for refinancing if it meets the following broad criteria:

a. Vehicle Age: The Subaru should not be older than 10-12 years.

b. Mileage: It should have a mileage less than 150,000 miles.

c. Model and make: Some lenders will not refinance electric vehicles, hybrids, or models that have been phased out.

What are the benefits of GAP and ESC?

Another advantage of refinancing your Subaru is that you can add new insurance components to the loan. The most important add-ons are GAP and ESC.

• Guaranteed Asset Protection (GAP) protects you from expenses if your car is completely totaled in an accident. It pays the difference between the vehicle’s worth and the actual amount you owe on it at the time of the accident.
• Extended Service Contract (ESC) is an additional warranty that covers any mechanical failure, engine issues, and electrical problems your Subaru may face after the manufacturer’s warranty expires.

Can I refinance a Subaru with bad credit?

Typically, it’s always best to choose to refinance only when your credit score has improved. However, if you are desperate to reduce your monthly payments, you can still refinance with a bad credit score. Follow some of the guidelines below to get a better APR.

• Evaluate your credit history before refinancing your Subaru. If you have been inconsistent in payments, ensure you rectify them before applying.
• Get a free copy of your credit report and analyse it to see how you can improve your score.
• You can refinance a Subaru even with bad credit if you make a larger down payment at the time of taking the loan.
• Use online refinance lending aggregators to search and compare different offers based on a soft credit inquiry.

Why choose Way.com to refinance your Subaru

We understand how hard it is to finance and maintain your Subaru. Instead of bleeding money on it, we want to make owning a car affordable for everyone! Use Way.com to find the best refinance lenders in the market, and compare their offers before taking on a new loan.

In just a few minutes, you can find and compare the best rates and lenders for your Subaru. In addition, we’ll also help you find refinancers that provide additional GAP insurance, ESC 100% online application process, and excellent customer support.

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.