 TITLE: Can I Get a Cash-Out Auto Refinance Loan With Bad Credit? CONTENT: Do You Need a Good Credit Score for a Cash-Out Auto Refinance?\n--------------------------------------------------------------\nAs with any type of loan, your credit score is an important factor to lenders. If you have bad credit, you'll generally have a harder time getting approved for credit, and may have to pay higher interest if you are. Cash-out auto refinance loans are no exception.\nAuto loans almost always use the vehicle being financed as collateral. This means, in the event you stop making payments, lenders can repossess and sell the vehicle to recoup the outstanding balance on a loan. But cars tend to depreciate quickly, so this poses a challenge to lenders if a borrower owes close to or as much as the car is worth. If a car depreciates faster than you can pay down the balance, you may end up owing more than the vehicle is worth—a scenario lenders prefer to avoid.\nStatistically, people with bad credit are more likely to miss payments or default on their loans than people with good credit, so lenders may deny your cash-out auto refinance application if your credit score is below a certain threshold. END