Best answer from question by jrc77355:
Answer by LIGirl
It depends on what you can afford and the condition of your current vehicle. Refinancing is probably the better option if you are planning to keep this vehicle for a while after it’s paid off as long as you don’t extend the length of the loan. It will be paid off sooner and you won’t have any payments for a while. Plus the amount you should be refinancing is probably less than you would be paying for a new car.
Either way, I don’t think your credit should be affected.
