Rev up your financial freedom: 6 Tips on how to use debt relief strategies to drive away car loan worries

Having a car is a lifeline for handling our day-to-day. Still, a hefty auto loan might have your budget on a financial tightrope, tip-toeing on the thin wire between bills and financial freedom. Fear not, because here's some tips on how to get a grip on balancing your debt.

Add up your money situation

Whip out the calculator and open your bank statements. Do the arithmetic to understand how much money goes out versus how much comes in. While doing this, highlight expenses you can cut, like streaming services or online shopping, to create a budget.

2, 4, 8, let's consolidate

If you have multiple credit card payments or loans, you can throw them together under one loan with a better interest rate or another credit card with a no-interest grace period. But research your options because some creditors may charge fees upfront or can increase your introductory rate over time.

To refinance or not

Refinancing a car loan might be a good idea if your credit score has improved, interest rates have dropped, or extending the length of your loan for a lower payment.

Haggle with your lender

Start by getting quotes from multiple lenders through a mortgage broker, or do it yourself. Get at least one from a credit union, a national bank, and an online lender. You can use this to negotiate lower interest rates.

Ask for help

Loans can sometimes feel like trying to swing from one financial branch to another without falling into the credit score quicksand. If you're not a numbers person, there are plenty of debt relief services, such as credit counseling or debt management plans.

One car too many

If you have another car, consider selling it. You will put some extra cash in your pocket and save money by not paying for extra insurance and maintenance.

Cars should make your life easier, not become a financial hardship. You can use the tips above to finagle your way around the banking rigamarole. If you have an older car you can part with, get an instant offer from us and see what it's worth today.