What Wells Fargo charges for auto refinancing

Wells Fargo offers auto refinancing through its consumer lending division, meaning you can refinance a car loan you have with any lender — not just Wells Fargo. The interest rate you receive depends on your credit score, the age and mileage of the vehicle, how much you still owe, and current market conditions. Wells Fargo does not publish a single rate; instead, you receive a personalized rate after you provide financial information and authorize a credit check.

The bank typically requires that the vehicle be no more than 10 years old, have fewer than 100,000 miles, and be worth at least $7,500. You must own the car outright or have paid down enough of the loan that the vehicle's value exceeds what you owe — this is called being "right-side up" on the loan. If you still owe more than the car is worth, Wells Fargo will not refinance it.

Rates change daily based on the broader lending market, not just Wells Fargo's decisions. A rate you see advertised today may not be the rate you receive when you complete the full process. The only way to know your actual rate is to start the process.

Key Takeaways

  • Wells Fargo refinances cars from other lenders and charges rates based on your credit score, the vehicle's age and value, and current market conditions.
  • Your car must be no more than 10 years old, worth at least $7,500, and you must owe less than it is worth to be considered.
  • Rates are personalized and only revealed after you provide financial details and authorize a credit check, so advertised rates are not may provide.
  • Comparing Wells Fargo's rate to rates from credit unions, online lenders, and other banks takes 15 to 30 minutes and can save hundreds of dollars over the life of the loan.

How to get a rate quote from Wells Fargo

Start by visiting wellsfargo.com and navigating to the auto refinancing section, or call 1-800-869-3557 to speak with a loan officer. You will need your current loan details: the lender's name, the loan balance, the interest rate you are paying now, and the vehicle identification number (VIN). Have your driver's license and Social Security number ready.

The online process takes about 10 to 15 minutes. You enter basic information about yourself, your income, and your employment, then provide details about the car and the existing loan. At the end, you authorize Wells Fargo to pull your credit report. Within a few minutes to a few hours, you receive a rate quote and a loan estimate showing the monthly payment, total interest, and any fees.

If you explore by phone, the process is similar but takes longer because the loan officer enters the information for you. Either way, receiving a quote does not obligate you to accept the loan. You can shop around with other lenders before deciding.

What affects your rate at Wells Fargo

Your credit score is the single largest factor. Borrowers with scores above 750 typically receive the lowest rates, while those with scores below 650 may not be approved at all or may receive rates 2 to 4 percentage points higher. Wells Fargo uses your FICO score, which is the score most lenders rely on.

The vehicle's age and mileage matter because older cars with high mileage are more likely to break down, leaving you unable to make payments. A 2015 car with 80,000 miles will receive a better rate than a 2012 car with 120,000 miles, even if both are worth the same amount. The loan-to-value ratio — how much you owe compared to what the car is worth — also affects your rate. If you owe $15,000 on a car worth $20,000, you are a lower risk than someone who owes $18,000 on the same car.

The loan term you choose (36, 48, 60, or 72 months) also influences the rate. Longer terms usually carry slightly higher rates because the lender takes on more risk over time. Your employment history and income stability matter as well, though less than credit score.

Comparing Wells Fargo to other lenders

Wells Fargo is one option, but not always the cheapest. Credit unions often offer lower rates to members, sometimes 0.5 to 1.5 percentage points below what banks charge. Online lenders like LendingClub, Upgrade, and Lightstream may offer competitive rates and faster approval. Traditional banks like Chase, Bank of America, and US Bank also refinance auto loans.

To compare fairly, get quotes from at least three lenders. Each quote involves a hard credit inquiry, which temporarily lowers your credit score by a few points. However, when you shop for the same type of loan within 14 to 45 days (depending on the credit bureau), the inquiries count as one, so multiple quotes do not significantly harm your score.

Write down the interest rate, monthly payment, loan term, and any fees for each lender. A lower rate at one lender might come with a $500 origination fee, while another lender charges no fee but has a slightly higher rate. Calculate the total cost over the life of the loan, not just the monthly payment, to see which offer truly saves you the most money.

Fees and costs you should know about

Wells Fargo does not charge an origination fee for auto refinancing, which is an advantage compared to some online lenders. However, you may encounter other costs. If you refinance with Wells Fargo and the new loan is funded, your old lender receives payment and you owe nothing more to them. Wells Fargo handles this payoff, so you do not pay extra for it.

Some states charge a title transfer fee or recording fee when you refinance, typically $50 to $200. This is not a Wells Fargo fee; it is a state or county requirement. Ask Wells Fargo whether these fees are included in the loan amount or due separately at closing.

If you have a lien on the vehicle (meaning your current lender holds the title until you pay off the loan), Wells Fargo will work with that lender to release the lien once the refinance is complete. This process usually takes 7 to 10 business days after funding.

Timeline from process to funding

After you receive a rate quote, you can move forward with a formal process. This step requires more documentation: recent pay stubs, a recent bank statement, and proof of insurance. You also provide the current loan's payoff amount, which you can get from your existing lender's website or by calling them.

Wells Fargo reviews your process and verifies the information, a process that typically takes 2 to 5 business days. Once approved, you receive loan documents to sign electronically or by mail. Signing takes 10 to 15 minutes online. After you sign, Wells Fargo funds the loan, which means they send money to your old lender to pay off the existing loan.

Funding usually happens within 3 to 5 business days after you sign. Your first payment to Wells Fargo is due 30 days after funding. During this time, you continue making payments to your old lender as scheduled — do not stop paying until you receive confirmation that the old loan has been paid off.

When refinancing makes financial sense

Refinancing saves money when the new interest rate is at least 0.5 percentage points lower than your current rate. If you are paying 6% and can refinance at 5.5%, the savings add up over time. However, if you only have 12 months left on your current loan, refinancing into a new 60-month loan will lower your monthly payment but increase your total interest paid.

Refinancing also makes sense if your credit score has improved since you took out the original loan. If you had a score of 620 when you bought the car and it is now 720, you may may have access to for a significantly lower rate. Conversely, if you are only a few months into your current loan and the rate is already low, refinancing may not be worth the time and effort.

Calculate the break-even point: divide any fees by the monthly savings. If refinancing saves you $50 per month and costs $300 in fees, you break even after 6 months. If you plan to keep the car for at least that long, refinancing is likely worth it.

Frequently Asked Questions

Can I refinance a car I still owe money on?

Yes, as long as the car is worth more than you owe. Wells Fargo uses the vehicle's current market value to determine this. You can find estimated values on Kelley Blue Book or NADA Guides. If you owe $16,000 on a car worth $18,000, you can refinance. If you owe $18,000 on a car worth $16,000, you cannot.

How long does it take to get approved?

You receive a rate quote within minutes to a few hours after completing the online process and authorizing a credit check. A formal approval with loan documents takes 2 to 5 business days. Funding happens 3 to 5 business days after you sign the documents, so the entire process from start to money in your old lender's account is typically 7 to 14 days.

What if I have bad credit?

Wells Fargo typically requires a credit score of at least 620 to 640, though some applicants with lower scores may be approved with a higher interest rate. If you are denied, credit unions and some online lenders have more flexible requirements. You can also wait 6 to 12 months, work on improving your credit score, and reapply later for a better rate.

Do I have to use Wells Fargo if I have a checking account there?

No. Wells Fargo does not offer better rates to existing customers, and you are not required to bank there to refinance. Shop around with other lenders to find the best rate, regardless of where you have your accounts.

What happens to my old loan after refinancing?

Wells Fargo pays it off completely with the new loan funds. Your old lender closes the account, and you owe them nothing more. You then make payments only to Wells Fargo for the new loan. Make sure you receive written confirmation from your old lender that the loan is paid in full before you consider the refinance complete.