How to Pay Off Your Auto Loan Faster and Save on Interest
06/09/2025
Refinance Your Auto Loan
If rates have decreased or your credit score has improved since your last car loan, you might be able to secure a better rate. Family Trust offers refinancing1 for auto loans2 from another financial institution. Our rates have recently dropped, so this could be more savings for you.
Make Biweekly Payments
Splitting your monthly payments in half and paying every two weeks could help you save money. This small change can add up to one extra payment each year. Instead of the typical 12 payments, you’ll make 26 payments using this method. It can also help you pay down the principal a little faster while reducing the overall interest you pay.
Round up Payments
Even though it seems insignificant, small changes like rounding up your monthly payment could make a big difference when done consistently. If your payment is $370, consider rounding up to $400. The extra money goes directly to the principal, helping you pay less interest over time.
Put Extra Cash Toward Your Loan
Have a bonus, tax refund, or some extra cash? Instead of a shopping spree, consider putting it toward your auto loan. Every little bit helps reduce the principal, which in turn lowers how much interest you’ll pay moving forward.
Thinking about getting an auto loan? Apply online or reach out to us on familytrust.org using the chat feature to hear from us during business hours. If you still have questions, give us a call at 803-367-4100.
1. Refinancing is available for auto loans from other financial institutions. Loan approval and terms are subject to creditworthiness, income, and other underwriting factors. Refinancing may result in a lower monthly payment or interest savings, depending on your loan terms. It’s important to consider any applicable fees, prepayment conditions, or changes to the loan term when refinancing.
2. Must be 18 to apply. Qualification is based on creditworthiness, income and other underwriting factors, and is subject to approval. Any vehicle financed with Family Trust must be a 2009 model or newer.