Toyota vehicles top the list of cars and trucks that hold their value over time, so refinancing your Toyota may be a savvy way to get even more bang for your buck. Refinancing your Toyota auto loan can be a great way to save money each month or decrease the amount you pay in interest. The question is, will Toyota Financial refinance your loan for you? In most cases, probably not. 

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You may be able to refinance an auto loan with a Toyota dealership, or in some cases directly with Toyota Financial Services, but it’s not very common. More often, Toyota drivers who want to refinance their car loan shop around for offers from multiple lenders to find the best deal. 

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If you have a Toyota Financial Services auto loan and want to refinance, read on to learn more about your options and what to do next.

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Key takeaways

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• While Toyota Financial Services may offer refinancing in some cases, it’s generally focused on offering new loans for Toyota purchases.
• You’re not locked in to your original Toyota loan, and you should shop around to find the best offers when you’re ready to refinance.
• You’ll need your current loan documents, driver’s license, insurance card, Social Security number, and proof of income when you’re ready to apply.
• Checking your refinance loan rates with an online marketplace like RefiJet won’t harm your credit and can help you find the best deal for your new loan.

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Will Toyota Financial refinance any auto loan?

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Financing a new Toyota through the dealership means working with the brand’s captive lender, Toyota Financial Services. Toyota Financial specializes in offering auto loans that streamline the purchase process at Toyota dealerships. You can apply for a loan, qualify, and receive funding for your new car all in one place, and promotional rates on some vehicles can make financing with Toyota even more attractive. 

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Sometimes, though, keeping your Toyota auto loan no longer works for your situation, which is where refinancing comes in.

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Generally, Toyota Financial does not refinance. There may be some exceptions, depending on the dealer and the specifics of your auto loan. If you financed your Toyota with a loan from another lender, it’s unlikely you’ll be able to refinance that car with Toyota Financial. But you could trade in the vehicle for a new Toyota — and a new Toyota Financial loan.

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Pros and cons to a refinance with Toyota Financial Services

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Staying with the same company when you refinance your auto loan has its pros and cons. Some of the positives include:

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• You’re already familiar with the company’s website and loan servicing features.
• Applying for the refinance may be streamlined, as they already have your information and payment history.
• There’s no slowdown as you wait for your car’s title to transfer from one company to another.

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On the other hand, there can be some significant downsides:

• Not all companies will refinance the loans they’ve issued, as there’s no financial incentive for them (which may be why Toyota Financial often will not refinance).
• If they do refinance, you’ll still need to apply for the refinance loan and go through underwriting, even if you’re already a customer.
• You might be required to refinance through a third-party lender anyway.

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Can you refinance a Toyota loan with another lender?

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If you’re ready to refinance, there's no requirement to stick with your original lender. You can always explore other lenders for a Toyota Financial Services refinance. In fact, comparing loan offers from multiple lenders is the best way to get a great rate on an auto loan refinance. Here are a few things to keep in mind as you shop:

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• Credit score matters: If your score has gone up since you bought the car, you could qualify for a lower rate. Check your free credit report and make sure there are no errors that could be dragging down your score.
• Know your loan details: Look for the amount borrowed, interest rate, monthly payment, loan term, and prepayment penalties, if any. You’ll need this information to compare to other offers.
• Verify your vehicle: If the car is too old or has too many miles, some lenders won’t refinance your loan. Know the make, model, age, and mileage before shopping.
• Apply at the same time: To avoid a hit to your credit score, keep all of your loan applications to within a 14-day period so they count as one hard credit inquiry.

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Comparing all of your loan offers in one place makes it fast and easy to refinance a car online.

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What you’ll need to refinance a Toyota loan

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When you’re ready to refinance your Toyota Financial loan, there’s some information you’ll want to have on hand. Gather up the following details and documents:

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• Driver’s license and Social Security card
• Proof of income, such as pay stubs, bank statements for the last several months, or your W-2s from last tax season.
• Current loan information, either from your loan documents, monthly statements, or Toyota Financial app.
• Vehicle info, including the Vehicle Identification Number (VIN), odometer/mileage reading, year, make, and model.
• Proof of auto insurance.

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If you have a co-borrower on the Toyota loan, you’ll need to make sure you have their information as well when you refinance. Alternatively, you may be able to remove a co-borrower by refinancing, if that’s your goal.

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Shop around to find your best refinance options

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It’s easier to find a company that does a Toyota Financial refinance when you have the right tools. Start by exploring our auto refinancing calculator to get an idea of how much you might be able to save when you refinance. All you need is your current loan amount, monthly payment, interest rate, and loan term. When you’re ready, you can apply for a quick preapproval online, which won’t hurt your credit. 

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After you compare offers, moving forward with your auto loan refinance is as simple as completing the final application and uploading your documents. Start the auto refinance process for your Toyota Financial loan and you’ll have a new monthly payment in no time.

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FAQs

Below are some of the most commonly asked questions about Toyota Financial refinancing.

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Does Toyota Financial Services refinance auto loans?

Although it may be possible to refinance your loan with Toyota Financial Services, they typically focus only on originating new loans for Toyota vehicles.

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Can I refinance my Toyota loan with another lender?

Yes, you can. It’s common to refinance a Toyota auto loan by shopping around for offers from other lenders, which may have lower rates or better terms.

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Is it better to refinance with a dealership or an online marketplace?

In some cases, you might want to get a new loan by financing with the dealership — especially if you’re in the market for a new car anyway. Sometimes Toyota dealers offer promotional rates that could help you save on interest if you buy certain models. In general, though, if you want to refinance an existing loan to keep your current vehicle, it’s better to compare offers from other lenders through an online marketplace like RefiJet. 

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Does refinancing through RefiJet impact my credit?

Applying for a preapproval or to check your rates with RefiJet will not impact your credit, so you should feel confident exploring your options. When you officially apply for the loan, the lender will typically perform a hard credit check, which could temporarily drop your score by a few points.

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What do I need to refinance my Toyota loan?

You’ll want to gather your driver’s license, proof of insurance, bank statements, pay stubs, and Toyota Financial Services loan documentation when you’re ready to refinance.

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