My father cosigned on my car loan so I could get 0.9% financing. Its a great deal, I financed $25,006.61 over 48 months, and I'm going to pay $461.19 in finance charges over 48 months. I'm at month 35, and I've paid $420 in interest already, and I owe $6861.72 right now.
I'm thinking about refinancing.
Why? I apparently have no credit. I applied for a $5000 motorcycle loan a few months ago, and was rejected, even though I've no debt besides the car payment, I've held a credit card in my name since I was 18, and i make more than 10x the amount of the loan every year. Apparently co-signed loans don't count even though I paid every single payment on the car on time. I need more history of loan repayment.
I'm thinking about taking a high-ish interest rate loan (7-8%) from my bank and refi-ing my car. I'd pay an additional $200-$300 in interest over the remaining year of the loan contract, but at least I'd have some debt repayment history. And I'm thinking I'm better off doing this now so i don't pay 7% on a $25,000 car, or get rejected for a mortgage later