What Bank of America offers for auto refinancing
Bank of America lets you refinance an auto loan through its standard loan products, but it does not advertise a dedicated "auto refinance" program with its own name or terms. Instead, you refinance by taking out a new auto loan from BofA to pay off your existing loan with another lender. The new loan replaces the old one, and you start making payments to Bank of America instead.
BofA offers auto loans to customers who are existing account holders or who open a checking account with them. The bank does not publish its interest rates publicly — you have to request a quote, and the rate you receive depends on your credit score, the age and mileage of the vehicle, the loan amount, and the term you choose. Loan terms typically range from 36 to 72 months, though some customers report being offered up to 84 months.
The refinance process itself is straightforward: you explore, BofA pulls your credit, and if approved, the bank issues funds to pay off your current lender. You then owe BofA instead. The catch is that refinancing costs money upfront — you may face an appraisal fee, title transfer fees, or other closing costs — and you restart the loan clock, which can mean paying more interest overall even if your rate drops.
Key Takeaways
- Bank of America refinances auto loans only for existing customers or those willing to open a checking account, which narrows your options compared to credit unions or online lenders.
- Interest rates are not published and vary based on credit score, vehicle age, loan amount, and term; you must request a quote to see what you would pay.
- Refinancing with BofA restarts your loan term, so a 72-month loan means you pay interest for six more years even if your rate improves.
- Upfront costs such as appraisal fees and title work can offset savings from a lower rate, especially if you are refinancing a loan you have already paid down significantly.
When refinancing with Bank of America makes sense
Refinancing through BofA is worth considering if your credit score has improved since you took out your original loan, or if interest rates have dropped and you have a long time left on your current loan. The math works best when the interest rate savings are large enough to cover the upfront fees and the extra interest you will pay by extending the loan term.
For example, if you owe $15,000 on a loan at 8% with four years remaining, and BofA offers you 5.5% for 72 months, you need to calculate whether the monthly savings outweigh the cost of refinancing plus the extra two years of interest. A loan calculator can show you this, but the general rule is: refinance only if you save at least $1,000 to $1,500 over the life of the new loan after subtracting fees.
BofA refinancing also makes sense if you want to consolidate multiple debts or simplify your finances by moving your auto loan to the same bank where you do your checking. Some customers report that having the loan and checking account at the same institution makes it easier to manage payments or to negotiate on fees.
How to request a quote from Bank of America
Start by logging into your BofA online banking account or visiting the Bank of America website and navigating to the auto loans section. If you are not a customer, you will need to open a checking account first — BofA does not refinance for non-customers. The process process asks for basic information: the vehicle identification number (VIN), the current loan balance, the lender you are paying now, and your employment and income details.
BofA will pull your credit report, which triggers a hard inquiry and temporarily lowers your credit score by a few points. The bank then provides a rate quote, which is usually good for 30 to 45 days. At this stage, you are not committed — you can accept or decline without penalty. If you accept, BofA orders a vehicle appraisal (usually $50 to $150) and begins the paperwork to pay off your current lender.
The entire process typically takes one to two weeks from process to funding. During that time, you continue making payments to your current lender as usual. Once BofA funds the payoff, you will receive a confirmation, and your old loan is closed. Your first payment to BofA is usually due 30 to 45 days after funding.
Comparing Bank of America to other refinancing options
| Lender Type | Membership Required | Rate Range | Typical Approval Time | Upfront Costs |
|---|---|---|---|---|
| Bank of America | Checking account required | Not published; varies by credit | 1–2 weeks | Appraisal, title fees, possible closing costs |
| Credit Union | Membership (often straightforward to join) | Often lower than banks | 1–3 days | Usually lower or waived |
| Online Lender | None | Varies widely; rates published | 1–2 days | Minimal; sometimes no appraisal |
| Other Banks | Varies | Published or quoted | 1–2 weeks | Appraisal and closing costs typical |
Credit unions often beat Bank of America on rate and fees because they are member-owned and do not operate for profit. If you belong to a credit union or can join one (many allow membership based on where you work or live), that is usually your cheapest option. Online lenders like LendingClub, Lightstream, or Upgrade often have faster approval and lower upfront costs, though their rates vary widely depending on your credit.
The main advantage of BofA is convenience if you already bank there — you can manage everything in one place. The main disadvantage is that you must be a customer, rates are not transparent, and fees tend to be higher than credit unions. If you are shopping around, get quotes from at least one credit union and one online lender before committing to BofA.
Fees and costs to watch for
Bank of America does not publish a standard fee schedule for auto refinancing, so costs vary by location and situation. Common charges include a vehicle appraisal fee (typically $50 to $150), a title search and transfer fee (usually $50 to $200), and possibly a loan origination fee (a percentage of the loan amount, often 0% to 1%). Some branches may also charge for document preparation or notarization.
Ask BofA for a complete list of fees before you sign anything. Request a Loan Estimate — the same document required for mortgages — which shows all costs upfront. This document is free and will let you compare the true cost of refinancing with BofA against other lenders.
Beyond upfront fees, watch the loan term. If you refinance a loan you have already paid down halfway, extending the term to 72 months means you pay interest on that remaining balance for much longer. A lower rate does not always mean lower total cost if you are stretching the loan out significantly.
What happens if you are underwater on your loan
If you owe more than the vehicle is worth — a situation called being "underwater" — refinancing becomes harder. Bank of America will order an appraisal, and if the appraisal comes in below your loan balance, the bank may decline to refinance or may require you to pay the difference upfront. Some lenders will refinance an underwater loan if your credit is strong, but they typically charge a higher rate to offset the risk.
If you are underwater, focus first on improving your credit score and waiting for the vehicle to age less before refinancing. In the meantime, making extra payments toward principal reduces the gap between what you owe and what the car is worth, which improves your refinancing options later.
Frequently Asked Questions
Does Bank of America refinance loans from other banks?
Yes. BofA refinances auto loans from any lender — your current bank, a credit union, a dealership, or an online lender. The bank pays off your existing loan and issues a new one. You must be a BofA customer or open a checking account to do this.
What credit score do I need to refinance with Bank of America?
BofA does not publish a minimum credit score, but most auto refinancing typically requires a score of 620 or higher. The higher your score, the lower your rate. Request a quote to see what BofA will offer you based on your actual credit profile.
Can I refinance a vehicle that is still being financed?
Yes. You refinance while you still owe money on the original loan. BofA pays off the old lender in full, and you begin repaying BofA. There is no waiting period — you can refinance as soon as you want, though doing so early in a loan means you have paid less principal and may not save much money.
How long does it take to get money from Bank of America after approval?
Funding typically takes one to two weeks after you are approved. BofA orders the appraisal, completes the title work, and then sends the payoff funds to your current lender. Your old loan is closed once the payoff is received, and your first payment to BofA is due 30 to 45 days after funding.
What if my interest rate goes down after I refinance with Bank of America?
You can refinance again with another lender, but doing so restarts the loan term and triggers new fees. Most people wait at least 12 months between refinances to make the math work. Check your BofA loan documents for any prepayment penalties — most auto loans have none, but it is worth confirming.