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Refinance Your Auto Loan in East Texas

Where in East Texas can you refinance your auto loan? The answer is right here at Lone Star Credit Union (LSCU). We specialize in auto loan refinancing across East Texas, serving communities like Greenville, Terrell, Kaufman, and beyond. By refinancing locally with LSCU, you can take advantage of lower interest rates, personalized service, and community-focused benefits that keep more money in your pocket and in the local economy. In this comprehensive guide, we’ll explain exactly why and how to refinance your car loan with LSCU – the East Texas credit union that puts members first.

Why Refinance Your Auto Loan Locally?

Refinancing an auto loan means replacing your current car loan with a new one – ideally with better terms such as a lower interest rate or longer repayment period. The goal is to reduce your monthly payment or total interest costs, saving you money over the life of the loan. But where you refinance matters. By choosing a local East Texas lender like a credit union, you can unlock special advantages:

Lower Interest Rates: Credit unions are member-owned and not-for-profit, enabling them to offer lower auto loan rates on average than banks (bankrate.com). In fact, as of late 2024 the average 5-year new car loan rate at credit unions was about 1.5% lower than the bank average (6.03% vs 7.53%), which could save a borrower roughly over $1,200 in interest on a $30,000 loan (bankrate.com). That’s real money that stays in your wallet.
Personalized Service & Flexibility: Local institutions pride themselves on community presence and a borrower-centric approach (bankrate.com). Credit unions will take time to hear your story and work with you even if your credit isn’t perfect credit (bankrate.com). “You have a unique story, and your story is much more likely to be heard at a credit union. At large financial institutions, underwriting is set in stone… Walk into a credit union, and you’re more likely to have a conversation,” notes one industry industry expert (bankrate.com). This means even if you’ve hit some bumps in the road, a credit union like LSCU will strive to find a refinancing solution that fits your situation.
Keep It Local: Refinancing locally keeps your money in East Texas. Instead of your interest payments going to a big bank’s profits, credit unions reinvest earnings back into members through better rates and fewer fees (lonestarcu.org). Lone Star Credit Union is rooted in Texas and follows the philosophy of “people helping people,” proudly serving Texans since since 1967 (lonestarcu.org). When you refinance with LSCU, you’re not just saving yourself money – you’re also supporting a financial institution that supports your community.
No Hidden Fees or Gotchas: Many car owners who financed through dealerships or outside lenders discover they’re paying more than they realized due to high rates or hidden add-ons. By refinancing, you can eliminate those extras. Credit unions generally have a reputation for transparent, honest loans with no hidden fees or prepayment penalties. At LSCU, there are no application fees to refinance and no penalties if you pay your loan off early – it’s all about helping you save.
Competitive Alternatives – and Why Choose LSCU: Simply put, we offer the same low rates and local expertise plus a long-standing track record of exceptional member service and unique perks for our borrowers. We’ve been Texas-based for over 55 years, maintaining an “people-first” approach built on honesty and service. Our members consistently rate us highly for our friendly, efficient service (LSCU carries an A+ rating from the Better Business Better Business Bureau (bbb.org), and member reviews frequently praise our staff’s professionalism and member care (lonestarcu.org). When you choose LSCU, you’re choosing an East Texas credit union with deep roots and a commitment to helping you succeed financially – not just closing a deal.

In short, refinancing your auto loan locally with Lone Star Credit Union can mean a lower rate, a lower payment, and a happier you. Now, let’s dive into the specifics of what LSCU offers and how the process works.

Local Auto Loan Refinance Rates & Exclusive Offers

Lone Star Credit Union offers some of the most competitive auto loan refinance rates and special incentives in East Texas. Here’s a snapshot of what you can expect when you refinance your car loan with us:

💰 Rates as Low as 5.50% APR: Enjoy extremely competitive interest rates on your auto loan refinance – as low as 5.50% APR (Annual Percentage Rate) for qualified borrowers (lonestarcu.org) These rates are current as of mid-2025 and are subject to change. Lowering your APR can translate into significant savings over your loan term. Even a drop of a percentage point or two can save you hundreds of dollars in interest. LSCU keeps rates low to give our Members the best deal possible, because any profit we make is returned to you in the form of better rates (lonestarcu.org).
📆 Flexible Terms (36–84 Months): We offer a wide range of loan terms from as short as 36 months up to 84 months online (lonestarcu.org). You have the flexibility to choose a repayment period that fits your budget and goals. Want to pay off your car sooner and save on interest? Opt for a shorter term. Need to reduce your monthly payment? A longer term can spread out the cost (though we’ll advise you on the interest trade-off). It’s up to you – we’ll tailor the refinance to your needs.
😃 No Payments for up to 2 Months: When you refinance with LSCU, you could skip your next two car payments – giving you a breather on your budget. Many members qualify for up to 60 days with no payments before the first payment on the new loan is due. This means if you refinance now, you might not have to make a car payment for the next two months!* It’s an instant relief and can help you catch up or redirect funds to other needs. (*Interest will typically still accrue during the deferral period, but you won’t owe a payment right away.
⏱ Fast-Track Application for East Texans: We know you’re busy. That’s why we’ve made the refinance process quick and hassle-free. East Texas residents can apply through our streamlined online application in just minutes (lonestarcu.org). In many cases approvals happen within one business day, so you won’t be left waiting and wondering. Our lending team understands the local auto market and will work quickly to get you an answer.
💻 Online or In-Person – Your Choice: Refinancing with LSCU is convenient. You can apply online from anywhere – on your couch or on the go – and complete the process electronically if you prefer (lonestarcu.org). Alternatively, if you value that face-to-face touch, visit one of our East Texas branch locations in person. Many credit unions offer multiple ways to apply (online, phone, or branch) for your convenience (bankrate.com), and LSCU is no exception. We combine the best of both worlds: digital speed and personal service. You choose how you want to interact with us. And rest assured, whether online or in-branch, you’ll get friendly, knowledgeable assistance at every step.
⭐ Exclusive Local Perks: Because we focus on our community, we can offer special perks you might not find elsewhere. For example, LSCU supports local heroes (educators, first responders, healthcare workers, military) with our HERO Benefit – which includes an extra 0.25% rate discount on auto loans and even coverage of your title transfer fee (up to $45) when refinancing an auto loan (lonestarcu.org). It’s our way of saying thanks to those who serve our community. Even if you don’t qualify for the HERO program, every member at LSCU gets treated like a VIP – but it’s nice to know we go the extra mile for our community heroes with additional savings.

As you can see, refinancing your car loan with Lone Star CU comes with big benefits. Now let’s explore why so many East Texans choose LSCU, and hear from some who have made the switch.

Why Choose Lone Star Credit Union to Refinance?

Lone Star Credit Union isn’t a newcomer to East Texas – we’ve been a trusted financial partner for Texans for decades. When you’re deciding where to refinance, consider these reasons why LSCU stands out as the best choice for your auto loan refinance:

🏠 Texas Roots & Community Commitment: We’ve been proudly serving Texas since 1967. That’s nearly six decades of experience helping members save money and achieve their financial goals. While our membership and services have grown, we remain fundamentally a community credit union driven by the credo “people helping people” lonestarcu.org. We treat our members like family – with honesty, respect, and fairness. When you refinance with LSCU, you’re working with a local institution that truly cares. We have physical branch locations within reach of East Texas (including Greenville, Terrell, Kaufman, and surrounding areas), and our staff live and work here too. We understand the needs of East Texans because we are East Texans. This community focus earned us recognition from local partners and a loyal member base that trusts us with their biggest purchases.
💵 Better Rates & Local Savings: At LSCU, we don’t answer to Wall Street shareholders – our only stakeholders are our members. That not-for-profit model means any earnings cycle right back to you in the form of lower loan rates and fewer fees. We keep our auto loan rates as low as possible (currently starting around 5.50% APR for top-tier borrowers so that you save money every month. By refinancing at a lower rate, our members often save hundreds of dollars a year compared to their previous loans. For example, one member refinanced her car loan from another lender and dropped her interest rate by 2%, cutting her payment significantly – those savings added up to over $800 per year which she could now spend on her family instead of interest. On average, LSCU members who refinance see substantial reductions in their payments; many report saving $50, $75, even $100 or more per month by securing a better rate or more favorable term. That kind of savings can be life-changing to a household budget. And unlike some big banks, we won’t nickel-and-dime you with hidden costs. No hidden refinance fees, and no prepayment penalties if you decide to pay off your loan early. In short, more of your money stays in your pocket – and in East Texas – when you refinance with LSCU.
🤝 Personal Touch with Modern Convenience: “Service with a smile” isn’t just a saying here – it’s our way of business. Our East Texas members consistently give us glowing feedback for our friendly, helpful service. “Quick, friendly, and professional service!” is how one member, Whitney, recently described her experience (lonestarcu.org). We take pride in making every interaction a positive one, whether you’re chatting with a loan officer on the phone or sitting down in our branch. And even though we offer a personalized, small-town touch, we also provide state-of-the-art technology to make banking easy. As our motto says, you don’t have to choose between service and innovation – LSCU gives you both. You can manage your refinance process online with secure digital tools, e-sign your documents, and set up automatic payments through our modern mobile and online banking. It’s the perfect blend of local relationship banking and high-tech convenience that ensures your refinancing is smooth and hassle-free.
🌟 Trusted and Highly Rated: We know handing over your auto loan (and title) to a new lender is a big decision. You want someone trustworthy. LSCU has earned the trust of thousands of members and community organizations. We’re proud to hold an A+ rating from the Better Business Bureau, reflecting our commitment to ethical business practices and customer satisfaction. We’re also federally insured by the NCUA and operate with full transparency and compliance, so your money is safe and the terms of your loan are clear. Our reputation in East Texas is sterling – in fact, many new members come to us because a friend or family raved about how we helped them save money. We’re honored to be known as a reliable, member-focused credit union. When you refinance with LSCU, you can do so with confidence that you’re dealing with a reputable institution that has your best interests at heart. (See the “Trust, Compliance, and Member Protection” section below for more on our security and integrity.)
🏆 Recognized Value & Member Satisfaction: Our commitment to members has not gone unnoticed. LSCU has been recognized by local groups for community involvement and by industry observers for our innovative service. But our highest honor is the satisfaction of our members. We consistently receive 5-star reviews and heartfelt testimonials. We’re the kind of place where members say “I tell everyone about Lone Star!” because they’re so thrilled with the outcome of their refinance (more on that in the testimonials ahead). Choosing LSCU means choosing a lender that thousands of East Texans already happily use for their auto loans, mortgages, and everyday banking. We hope to earn your trust as well – and we’ll work hard to keep it, as we have for generations.

Bottom line: Lone Star Credit Union offers everything you need for a successful auto refinance – low rates, local service, honest deals, and a proven track record. It’s no wonder so many East Texans turn to us when they want to save money on their car loans. But don’t just take our word for it – listen to a couple of our members’ success stories:

How to Refinance Your Auto Loan with Us

Refinancing your vehicle loan with LSCU is a simple, straightforward process. We handle the heavy lifting and paperwork – you just reap the rewards of a better loan! Here are the steps to refi your auto loan with Lone Star Credit Union:

Apply (Online or In Person). Getting started is easy. You can apply online in just a few minutes on our website – it’s a quick application with only the essential questions (lonestarcu.org). Prefer a human touch? Visit your nearest LSCU branch (Greenville, Terrell, Kaufman, or any location convenient to you) and apply in person with the help of our friendly loan officers. There’s no application fee to refinance, so it costs you nothing to see what rate and payment we can offer. If you’re not yet a member, don’t worry – you can still apply now, and we’ll guide you through membership as part of closing (more on membership in a bit). Our team is here to assist you every step of the way, so feel free to call or come in if you have any questions while applying.
Get Your Customized Refinance Offer – Fast. Once we have your application, our local lending team will review it right away. We know you’re eager to start saving, so we strive to provide a decision quickly – often within one business day, if not sooner. We’ll reach out with your personalized refinance offer, including the new interest rate, term options, and estimated monthly payment. We’ll clearly explain all the terms. This offer is tailored to you – we consider factors like your credit profile, the vehicle, and your needs to find the best solution. Many of our East Texas members are pleasantly surprised by how much we can lower their rate or payment. For example, one member who applied online on a Tuesday had an approval by that afternoon, and we cut her rate by over 3% compared to her old loan – a huge win for her finances. We’re confident we can present you with a refinance deal that makes sense and saves you money.
Review and Bring Your Current Loan Details. If you decide to move forward (and we think you will, once you see the savings!), the next step is to provide a few details about your existing loan and vehicle so we can finalize the refinance. Don’t worry – we’ll help you gather anything needed. Typically, we’ll ask for: Your current loan payoff information (the lender name, account number, and payoff amount – found on your latest statement or coupon book), proof of insurance on the vehicle, and the VIN and mileage of the car. If you have your current loan documents or online account, these details are easy to find; if not, we can assist. We’ll also need a copy of your driver’s license or ID (to verify identity) and a recent paystub or proof of income in some cases (to confirm you can afford the payments). Essentially, we handle contacting your current lender to get the payoff amount and arrange the payoff, but we’ll loop you in to ensure everything is correct. Bringing your current loan documents or a statement can speed up this step, but even if you don’t have them handy, our loan specialists will guide you on how to get the info. We strive to make the paperwork as painless as possible. As one member said, “I just brought in my old loan info and insurance card, and LSCU took care of the rest!” Indeed, we’ll prepare all the necessary documents for you to sign.
Finalize & Drive Happy! Once we have the necessary details, we’ll work with you to finalize the loan. This involves signing a few refinance documents (either electronically or at the branch – your choice). We’ll pay off your current loan directly by sending funds to that lender, and transfer the title of your vehicle to Lone Star Credit Union as the new lienholder. (If you qualify for our HERO program or a promotion, we may even cover the title transfer fee for you, saving you a bit extra!) After closing, your new loan with LSCU is in effect. Congratulations – you’ve successfully refinanced and likely just lowered your monthly car payment! If you’re like many of our members, you might also get to enjoy 2 months with no loan payment before your new payment schedule starts, giving you a nice little break. We’ll let you know when your first payment is due (often up to 60 days out). From there, you simply make your new payment to LSCU going forward – and you’ll see the savings immediately. We’ll set you up with easy payment options, like free automatic transfers or an online payment portal, so staying on track is convenient. Of course, you can also pay in person at any branch. We’ll also cancel the old payment with your previous lender so there’s no confusion. The process truly is fast and stress-free – we handle the technicalities, and you start saving money. We’ll also remind you that as a new loan member, you have access to optional protections (like GAP insurance or extended warranties) often at much lower cost than dealers charge – refinancing is a great time to secure those if you want, but they’re totally optional. Above all, we want you to drive away happy and confident that you made a smart financial move.

That’s it! In just a handful of steps, you can transform your auto loan and potentially save a bundle. We’ve refined our process to be efficient and member-friendly. From applying to signing the final papers, our East Texas team is by your side to answer questions and ensure a smooth refinance experience.

Ready to check your new rate and payment? You can get started with our online application or use our handy calculator (more on that below) to estimate your savings. But first, let’s look at where you can find us in East Texas and who we serve.

Serving East Texas – Local Branches & Community Focus

One of the best parts of refinancing with LSCU is that we’re local. We have branch offices and service areas right here in East Texas, so help is never far away. We believe in a convenient, personal approach, and that includes having locations in the communities we serve. Here are our East Texas branch locations and hours for your reference:

Greenville Branch – 2611 Eastland, Greenville, TX 75402. (800) 588-6928. Open Monday–Friday, 9:00 a.m.–5:00 p.m., with drive-thru hours Monday, Tuesday, Thursday, and Friday from 8:00 a.m.–5:00 p.m., and Wednesday from 9:00 a.m.–5:00 p.m. Located just off Wesley Street, our Greenville branch is a trusted community hub for all your financial needs. With a full-service lobby and drive-thru, plus a 24-hour drive-up ATM and night-drop deposit box, it’s easy to take care of your banking on your schedule. Bilingual staff are ready to assist with everything from deposits to refinancing.
Kaufman Branch – 750 E. Highway 175, Kaufman, TX 75142. (800) 588-6928. Open Monday–Friday, 9:00 a.m.–5:00 p.m., with drive-thru hours Monday, Tuesday, Thursday, and Friday from 8:00 a.m.–5:00 p.m., and Wednesday from 9:00 a.m.–5:00 p.m. Our newest branch in Kaufman is designed with convenience and technology in mind. In addition to traditional lobby and drive-thru services, members will find a 24-hour drive-up ATM, night-drop deposit box, a touchscreen Discover Bar, and a NEXT self-service kiosk where you can make deposits, withdrawals, payments, and even open new accounts. Spanish-speaking team members are also available.
Terrell Branch – 140 9th Street, Terrell, TX 75160. (800) 588-6928. Open Monday–Friday, 9:00 a.m.–5:00 p.m., with drive-thru hours Monday, Tuesday, Thursday, and Friday from 8:00 a.m.–5:00 p.m., and Wednesday from 9:00 a.m.–5:00 p.m. Situated in the heart of Terrell, this branch offers full-service lobby and drive-thru access for your everyday banking needs. Members can use a 24-hour ATM and a night-drop deposit box for added convenience. Friendly staff, including bilingual team members, are ready to provide personalized support to every member who walks through the door.

Community Focus: Lone Star Credit Union is rooted in the heart of East Texas. Even as we leverage technology to serve members statewide and beyond, we remain committed to the communities in our East Texas service area. We sponsor local events, support area schools and charities, and our employees volunteer locally to help make East Texas a better lonestarcu.org. When you do business with LSCU, you’re not just a customer – you’re a member of a credit union family that actively cares for the community. We understand the local economy and culture, and we tailor our services (like this auto refinance program) to meet the needs of our neighbors.

Areas We Serve: We proudly serve the following East Texas counties, including but not limited to:

Delta County, TX
Hopkins County, TX
Hunt County, TX
Kaufman County, TX
Rains County, TX
Rockwall County, TX
Collin County, TX
Ellis County, TX
Whether you live in one of these cities or a nearby town, you’re likely eligible to join LSCU and refinance with us (see membership details below). Our goal is to make refinancing convenient and personal for all our East Texas neighbors. You can choose the branch closest to you for in-person service, or simply handle everything online or by phone if that’s easier – either way, you’ll be dealing with Texas-based professionals who understand your needs.

Now, before you refinance, let’s ensure you meet the basic eligibility and requirements for an auto loan refi with LSCU, and cover how easy it is to become a member if you aren’t one already.

Eligibility & Requirements for Refinancing

Refinancing an auto loan is relatively straightforward, but there are a few basic requirements to keep in mind. Lone Star CU’s policies are designed to be flexible and inclusive, but like any lender we do have guidelines to ensure loans are sound. Here’s what you’ll need in order to refinance your vehicle with us:

✅ Eligible Vehicle (Model Year & Mileage): We can refinance most cars, trucks, and SUVs, but the vehicle should be in decent condition and not too old or high-mileage. Many lenders (including us) have restrictions such as not financing vehicles older than a certain age or beyond a certain mileage. As a general rule, your vehicle should be within the last 7–10 model years and have under ~150,000 miles to qualify. (For example, a 8-year-old car with 90,000 miles is typically fine; a 15-year-old car with 200k miles might not be eligible.) These limits ensure the car retains enough value as collateral. If you’re not sure about your vehicle, ask us – we sometimes make exceptions or have special programs for classic vehicles. But for most standard cars on the road in East Texas, if it’s less than about a decade old and not overly driven, it should qualify for refinancing.
✅ Loan Currently with Another Lender: We can refinance auto loans from other financial institutions, but not loans currently financed through Lone Star Credit Union. (In other words, this program is for bringing external loans over to LSCU – we can’t “refinance” our own loan.) If your car is financed with a bank, dealership, or another credit union, that’s perfect – we’ll pay off their loan and you’ll start fresh with LSCU. If your loan is already with us and you’re looking for a better rate, talk to us; while it’s not a refinance per se, we may have options like modifying the loan or other products to help. But generally, to do an official refinance, your current loan should be held elsewhere. Also, if you owe more on the car than it’s worth (upside-down), we might still refinance but could ask for a slightly shorter term or a small payment to cover the gap – this is assessed case by case. Ideally, you should not owe significantly more than the car’s value, but we can discuss options if you do.
✅ Satisfactory Credit Review: Like any loan, refinancing is subject to credit approval. We will review your credit history and score as part of the application. The good news is we work with a wide range of credit profiles – you don’t need perfect credit to refinance with us. In fact, if your credit score has improved since you took out your original loan, that’s an excellent reason to refinance (you’ll likely qualify for a much better rate now). Even if your score is moderate or rebuilding, we’ll do our best to find an approval and rate that saves you money. We also consider your income and ability to repay, as any responsible lender should. Part of our review will involve verifying you have steady income (via paystubs or other proof) and that the new payment is affordable for you. This is for your protection as well – we want to set you up for success. Rest assured, our credit review is flexible and personalized; we won’t just run a number and say yes or no. We often can approve loans that big banks might deny because we can look at the full picture and even hear your personal situation if needed (bankrate.com). Our ultimate goal is to approve your refinance and get you a better loan whenever possible.
✅ Membership Eligibility (Easy to Join): Because LSCU is a credit union, you’ll need to become a member in order to have a loan with us. Don’t let this scare you – membership is very easy and open to many people! Our field of membership includes various counties and communities, and chances are if you’re in East Texas, you qualify. Specifically, if you live or work in our service counties (which include several counties in North and East Texas) or have a family member who does, you can join (lonestarcu.org). Even if you’re outside those counties, sometimes other associations or employers can make you eligible – talk to us and to find out. Becoming a member simply means opening a savings account with a minimum $25 deposit (your ownership share) (lonestarcu.org). That account is yours and the $25 is still yours (think of it as your first savings). Once you’re a member, you have full access to our services and benefits. You can apply for the refinance first and then finalize membership during loan closing, so it’s a seamless process. In short, membership won’t be a barrier – we welcome new members! And there are lots of perks to being part of the LSCU family beyond just the loan (like better savings rates, checking rewards, etc.). Remember, “if it’s good for you, it’s good for us” – that’s how we view our member relationship (lonestarcu.org). We’re all in this together to improve financial well-being.
✅ Texas Resident (for DPS processing): Our auto refinance program is primarily for Texas residents, because vehicle title transfer and registration updates are done through the Texas DPS. As an East Texas credit union, we know the ins-and-outs of Texas title laws and will handle updating the lienholder on your title as part of the refinance (you’ll get a new title showing LSCU as lienholder, and once the loan is paid off you’ll get a clear title). If you happen to be from out-of-state, we may not be able to refinance your vehicle due to titling limitations – but if you’re relocating to Texas or have special circumstances, let’s discuss. For the vast majority of folks living in Tyler, Longview, or anywhere in Texas, this won’t even be a concern. Texas residents are our specialty, and we take care of all the paperwork needed with the state.

If you meet the above criteria (which most people do), you’re good to go! To summarize: have a relatively newer vehicle, a loan that’s not currently with LSCU, be credit-approved (we’ll help with that), and be or become a member. That’s it.

How to Join Lone Star Credit Union

Since membership is a key step, here’s a quick guide on joining LSCU (if you’re not already a member):

Discover Your Connection: Check our membership criteria (area, employer, family, etc.) or talk with us to confirm eligibility. As mentioned, if you live/work in many North or East Texas counties (like Delta, Hopkins, Hunt, Kaufman, Rains, Rockwall, Collin, Ellis, parts of Dallas, etc.), you qualify(lonestarcu.org). Often, a huge portion of East Texans will fit these criteria. But even if you don’t, don’t be discouraged – we might serve your employer or have another route. We’ll help you “discover your connection” as we say (lonestarcu.org).
Open a Share Savings Account: To become a member, you simply need to open your primary savings account with us. This is a one-time thing. A minimum $25 deposit is required to establish your membership share (lonestarcu.org). This $25 isn’t a fee; it remains in your account (think of it as maintaining a small balance, which you can get back if you ever leave the credit union). You can do this paperwork as part of your loan closing or even start it online. It only takes a few minutes to fill out a membership application and fund the $25 (you can transfer from another bank or bring cash/check to a branch).
Enjoy the Perks of Membership: Once your savings account is open, congratulations – you’re now a member-owner of Lone Star Credit Union! This entitles you to all our products (loans, checking accounts, credit cards, etc.) and member benefits. You’ll have access to our digital banking, nationwide ATM networks, and perks like member discounts and financial education resources (lonestarcu.org). We truly aim to be your financial home, not just a one-time loan provider. Many members who join for an auto refinance end up moving other accounts to us once they experience the difference. Remember, as a member, you have a say in the credit union’s direction (you can vote in board elections) and you’re part of an institution that puts people first.

The membership process is very simple and can often be done at the same time as your refinance paperwork – we’ll guide you through it so it’s virtually seamless. If you apply for a refinance and aren’t yet a member, don’t worry: we’ll prompt you to fill out a short membership form too. It’s all integrated.

Now that we’ve covered the what and how of refinancing with LSCU, let’s address some common questions we hear from East Texas borrowers about refinancing. We want you to be fully informed and comfortable as you consider this financial move.

Frequently Asked Questions About Refinancing in East Texas

Q: Is there an application fee or any fees to refinance?
A: No, there is no application fee to refinance your auto loan with LSCU. We do not charge you just to apply or to process the refinance. The entire application and approval process is free. If we can’t offer a deal you like, you owe nothing and lose nothing except a little time. (Even your credit inquiry is a relatively minor impact and well worth the potential savings.) We also don’t charge origination fees on auto loans – we’re here to save you money, not add fees. Additionally, there are no hidden fees in our loans. Some lenders might sneak in a loan processing fee or an early payoff fee, but not us. At closing, the only out-of-pocket cost you might encounter is the state title transfer fee (usually modest, around $33 in Texas). And as we mentioned, if you qualify for certain programs like our HERO benefit, we’ll even pay that title transfer fee for you up to $45. (lonestarcu.org). So refinancing with LSCU is essentially cost-free. You can only gain by seeing if we can lower your rate. It’s also free to join the credit union – the $25 opening deposit is your money in your account, not a fee. In short, no fees, no fuss – just a better loan for you.

Q: Can I really skip a payment when I refinance? How does that work?
A: Yes, in most cases when you refinance an auto loan, your first payment on the new loan won’t be due for up to 30 to 60 days. This effectively lets you “skip” one or two monthly payments during the transition. It works because of how loan payoff and funding dates align. For example, suppose your current loan payment is due on the 1st of next month – but you refinance now. We pay off your old loan, so you don’t owe them anymore. Your new LSCU loan might have its first payment due date set for the following month’s cycle. It’s not magic – interest will accrue for those days – but you get breathing room with no payment due. This can be extremely helpful if you need to catch up on other bills or recover from an expensive month. We often advertise it as “no payments for 60 days” and most members qualify for the full two-month grace period (exact length can depend on timing and credit, but we aim for 60 days whenever possible). Imagine refinancing in July and not having a car payment until September – nice, right? Just be sure to double-check with us how your first payment is scheduled, so you know when to start paying on the new loan. But yes, many of our refinance deals allow you to skip your next one or two payments, and our members love that perk!

Q: How fast can I get approved and complete my refinance?
A: Very fast – often within a day. We pride ourselves on quick turnarounds. Most refinance applications are approved the same day or by the next business day at the latest. Once approved, the whole process of signing and paying off your old loan can be done in a matter of days (or even sooner if done electronically). Realistically, you could apply on a Monday and have your new loan finalized by Tuesday or Wednesday. Of course, if complications arise (like difficulty obtaining payoff info or if you’re joining as a new member which adds a small step), it could take a bit longer – but rarely more than a few days. We know you’re eager to start saving, so we move as fast as possible. You won’t be left in limbo. One thing that can help speed things up is having your documents ready (see the “What You’ll Need” section below). But even if you don’t, our team will actively work to gather what’s needed quickly. We also communicate with you promptly – no radio silence here. So, in short, expect a swift process. We’ve structured our workflow to streamline refinances, since we do a lot of them for East Texans. From online application to e-signatures, technology helps us be efficient. And our loan officers are experienced – they know how to get things done fast. By choosing LSCU, you’re not stuck waiting weeks for some corporate office’s approval. We handle it locally and efficiently.

Q: Can I apply to refinance even if I’m not a member yet?
A: Absolutely! We welcome applications from non-members. In fact, many people who refinance with us are first-time members of LSCU. The process will simply include becoming a member (which is quick and easy, as described above). You do not have to open an account before applying. Go ahead and submit your refinance application online – there will be a section that asks if you’re already a member or not. If not, no problem: we’ll process your loan application and membership application together. When it comes time to finalize the loan, we’ll just have you sign a membership signature card and deposit the $25 in savings. It’s a formality that we’ll help you with. So do not hesitate to apply just because you’re not a member yet. We want to earn your membership by showing you what we can do for you. And remember, once you’re a member, you can take advantage of all our other products too (you might find our checking or credit cards attractive down the road). But one step at a time – first, let’s get you that lower car payment! In summary: Yes, you can apply even if you’re not a member. If approved, you’ll become a member as part of getting the loan. It’s a seamless process from your perspective.

Q: Is refinancing available for all car brands and types?
A: For the most part, yes – we refinance almost all makes and models of personal-use vehicles. Whether you drive a Ford or a Toyota, a sedan or a pickup truck, new or used – as long as it meets our age/mileage guidelines mentioned above, we can refinance it. We finance both new and used vehicles, and that includes domestic brands, foreign brands, luxury cars, economy cars, etc. We don’t discriminate on make/model. The key is the vehicle’s value and condition. We typically do not refinance salvage title vehicles or heavily modified cars, and we don’t do commercial vehicles under consumer loans. But any standard car or light truck used for personal transportation should qualify. If you have something unique (like a classic car, motorcycle, RV, etc.), let us know – we have other loan products for recreational vehicles, and we can sometimes do those too or refer you to a specialized program. But for a normal auto loan on your everyday car, brand isn’t an issue at all. We’ve refinanced everything from a Kia Rio to a Mercedes-Benz for our members. The process is the same regardless of brand. Just ensure the car is within the allowed age/miles and in your name with a clean title (no unusual ownership issues). If you’re unsure, ask us and we’ll clarify. In short, virtually all personal cars and trucks on the road in East Texas are eligible for refinancing with LSCU. Don’t worry – whether it’s your trusty Chevy or your shiny BMW, we’ll work on a great refinance for you.

Q: Will refinancing my car affect my credit score?
A: Refinancing will result in a new loan inquiry on your credit and eventually a new trade line (and closure of the old loan). So you might see a small, temporary dip in your credit score due to the hard inquiry and the account changes. This is usually only a few points and often bounces back. Over time, refinancing can actually help your credit: if your new loan has a lower payment, it’s easier to make on-time payments and avoid late payments, which strengthens your score. Also, if you keep the old loan’s history on your report (it will show as paid off), that positive history remains. Generally, any impact is minor. Most of our members see their scores improve or stay stable after refinancing, especially as they continue making timely payments. We often advise not to apply for a bunch of other credit right when refinancing, to minimize inquiries. But one auto loan refi inquiry is very normal and not a cause for concern. If your goal is to save money, the slight credit impact is usually well worth it. And since we are careful lenders, getting a loan with us won’t throw a bunch of negative factors at your credit – we report accurately and fairly. So, yes your score might fluctuate a bit, but refinancing is generally credit-friendly in the long run.

Q: What if I owe more on my car than it’s worth? Can I still refinance?
A: Being “upside down” (owing more than the car’s current market value) is common, especially in the early years of a car loan or if the car depreciated faster than your payoff. It can make refinancing trickier, but not impossible. We do consider the loan-to-value (LTV) ratio when approving refinances. If your LTV is a little high (say you owe slightly more than value), we might still approve the refi if you have good credit or add some collateral/co-signer, etc. We might also offer to refinance most of the loan and ask you to pay the difference in cash at closing to get the balance down to the car’s value – this way you’re not financing the “negative equity.” For example, if you owe $20,000 but the car is worth $18,000, we might approve a refinance of $18k and you pay $2k out of pocket. Not everyone can do that, but it’s an option. Another approach: sometimes extending the term helps manage an upside-down situation (lowering payment even if balance is high). Keep in mind, we won’t refinance beyond a certain LTV limit for safety – usually around 100-120% of value. If you’re only a little upside down, we might roll in the gap, especially if you purchase GAP insurance which covers you if the car is totaled. Each case is unique. Our loan officers will discuss it honestly with you. If refinancing won’t truly help because of a severe negative equity, we’ll tell you – we don’t want to put you in a worse spot. But often, people think they can’t refi due to being upside down when they actually can, especially if rates dropped. We have refinanced loans where the borrower was upside down but the new rate was so much lower that it still saved them money and they planned to keep the car long-term. So, don’t automatically assume you can’t refinance if you’re upside down. Let us look at the numbers and we’ll find the best solution. We might suggest a shorter term or a small principal payment to make it work. Our goal is to help if at all possible.

Q: Will my car insurance or registration change when I refinance?
A: When refinancing, you’ll need to inform your auto insurance company that the lienholder has changed (to LSCU). This is important because the insurer needs to list Lone Star Credit Union as the lienholder on your policy going forward (this ensures if there’s an accident payout, it acknowledges our interest). We’ll remind you to do this, and often we might even facilitate sending a lienholder notification to your insurer. It’s usually as simple as a phone call to your insurance agent or an online update. There’s no cost to do this; it’s just an update on your policy. Aside from that, your insurance coverage requirements remain the same – we’ll require you carry comprehensive and collision coverage (standard for any auto loan). As for registration, the Texas DMV will update the lienholder on your vehicle title. If your title is electronic, it will reflect LSCU as lienholder; if paper, a new paper title will be issued. You do not need to re-register your vehicle or change plates or anything – your registration and plates stay in your name as before. The only difference is who is listed as the lienholder. The state typically sends an updated title document which we will either hold or have electronic record of until the loan is paid. So from your perspective, not much changes except mailing address for where your insurer would send proof of coverage, and the loan payments now come to us. It’s pretty seamless. We take care of paying off the old lender and filing the new lien, so you don’t have to visit the DMV or anything. We’ll also make sure you have a copy of everything for your records. So, no major changes to insurance or registration hassles – we handle most of it. Just keep your insurance active and updated.

Have another question not covered here? Feel free to reach out to us anytime – we’re happy to clarify any aspect of the refinancing process. Now, let’s look at an easy tool to estimate your potential savings and some final points on why you can trust LSCU with your auto refinance.

Refinance Calculator: See How Much You Can Save

If you’re curious about your potential savings, try plugging your numbers into our refinance calculator (available on our website). It’s a simple tool: you enter your current loan balance, current interest rate, and monthly payment or remaining term, then compare it with a new loan rate/term to see the difference. This can give you a ballpark idea of how refinancing will impact your payment and total interest.

For example, suppose you have a $20,000 balance on your car, with a 6.5% APR and 36 months left. Your current payment might be around $611 per month. Now, if you refinance that $20,000 at, say, 5.0% APR for 36 months, your new payment would drop to about $599 per month. That’s ~$12 saved each month. Over the 3 years, you’d save around $432 in interest. If you extended the term to 48 months to reduce the payment further, at 5.0% your payment would drop even more, to about $460 per month (though over a longer period).

On the other hand, maybe you want to shorten your term. If you have 60 months left at a high rate, you could refinance to a 48-month loan at a lower rate and potentially keep the payment similar while shaving a whole year off – saving you lots of interest. Every situation is different, but a calculator lets you play with scenarios.

To really see dramatic savings, consider someone who had a higher rate loan: e.g., $25,000 at 9% for 60 months (payment ~$518). Refinancing that to 5.5% for 60 months would cut the payment to about $478 – a $40/month savings, and about $2,400 less in total interest paid! If their credit improved, sometimes we even see going from 12% or higher down to 6% or so – those cases can save hundreds per month and many thousands in interest overall.

Keep in mind, our loan officers can also give you a personalized quote with no obligation. If you’re not sure what rate you’d qualify for, just ask – we can often do a soft credit pull or use your provided info to estimate. We’ll be honest and transparent about the rates and terms we can offer. Sometimes, members are happily surprised to learn they qualify for our very lowest rates.

Also consider the non-financial benefits in your decision: for example, maybe refinancing with LSCU lets you consolidate everything in one place, or gives you that 60-day payment break to help with cash flow. Those have value too.

When does refinancing make the most sense? Generally, if you can get a lower interest rate than you currently have, or if you need to adjust your monthly payment (downward) to better fit your budget, refinancing is worth exploring. If interest rates have fallen since you got your loan, or your credit score has significantly improved, those are prime opportunities to refinance. Also, if you’re dealing with a lender that has been difficult or you just prefer to work with a local credit union, that’s a valid reason too.

If you use our online calculator, feel free to reach out with your results – we can verify them and proceed with an application. Or skip the math and let our experts crunch the numbers for you. We’ll be happy to analyze your current loan and tell you straight-up how much you could save by refinancing with us. It’s like getting a free financial check-up for your car loan.

Remember, there’s no obligation and no pressure. We’re here to help you make an informed decision. If refinancing saves you money (which it often does), we’d love to facilitate that. If for some reason it’s not advantageous, we’ll tell you that too. Our priority is your financial well-being – that’s the benefit of a credit union’s honest advice approach.

Many East Texans have already used LSCU’s refinance calculator or consultation to discover they could reduce their rate by a few percentage points. As soon as they refinance, they see the difference in the very next payment (or lack of payment, if they got to skip one!). That freed-up money can go towards family expenses, savings, or even paying the loan off faster with additional principal – giving you more financial freedom.

So go ahead, check your refinance rate now using our online tools or by giving us a call. You might be pleasantly surprised at how much you can save.

Don’t spend another month paying too much for your car. Join your East Texas neighbors who have already saved with LSCU. Apply today and let us help you refinance your auto loan quickly, easily, and with confidence. We look forward to welcoming you to the Lone Star Credit Union family and getting you on the road to savings!

Membership required for loan funding. All loans are subject to credit approval and standard underwriting criteria. Rates and terms mentioned are subject to change and may vary based on creditworthiness, vehicle, and market conditions. APR = Annual Percentage Rate. Rate of 5.50% APR cited is effective as of July 2025 for well-qualified borrowerslonestarcu.org; your rate may differ. Interest begins accruing from the date the loan is funded. Refinanced vehicle must be titled in Texas. Refinancing not available for existing LSCU loans lonestarcu.org. Some restrictions may apply (for example, vehicle age/mileage limitsncsecu.org). No payments for 60 days offer is subject to approval; interest will accrue during deferment. Offer not valid in combination with other promotions unless stated. Consult with us for full details, current rates, and terms.* Thank you for considering Lone Star Credit Union – where if it’s good for you, it’s good for us! lonestarcu.org

Citations

Become a Member – Lone Star Credit Union

6 Reasons To Get A Credit Union Car Loan | Bankrate

Our Story – Lone Star Credit Union

Refinance Your Car Loan | Credit Union Auto Loan Refinancing

Auto Loans | East Texas Professional Credit Union

Refinance Your Car Loan | Credit Union Auto Loan Refinancing

Credit Union near Kaufman, TX | Better Business Bureau – BBB

Homepage – Front Page – Lone Star Credit Union

Rates – Lone Star Credit Union

Auto Loans – Lone Star Credit Union

Refinance Your Car Loan | Credit Union Auto Loan Refinancing