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Justine Petersen helps drivers escape high-interest auto loans – First Alert 4

Andrew BarnesDrive, Success Stories

Justine Petersen helps drivers escape high-interest auto loans

The not-for-profit offers credit counseling and low-interest loans to qualified consumers

Average car payments have soared to a whopping $770 a month for new cars. But a record number of car owners are also now falling behind on payments.

By Heather Sullivan
Published: Jul. 30, 2026 at 6:13 PM CDT

ST. LOUIS, Mo. (First Alert 4) – Average car payments have soared to a whopping $770 a month for new cars. But a record number of car owners are also now falling behind on payments.

A St. Louis not-for-profit is helping low to moderate-income drivers who are stuck in high-interest loans to refinance at lower rates.

When Michael Henry financed his truck four years ago, he was paying a high interest rate.

“45% to 46%, something like that,” he said. “That’s because my credit score was not that good. Sometimes you take a hit for that.”

 

Then he discovered the not-for-profit Justine Petersen, which provides credit counseling and connects low- to moderate-income individuals with the tools they need to access safe and affordable capital.

Henry received free credit counseling and was able to refinance his truck at a much lower interest rate.

“It has saved me a lot of money. It has shown me how to increase my savings along with my credit score,” he said.

The program helped him turn his credit score around, from 498 to 645 so far, a nearly 150-point increase.

Credit bureau Experian reports the average auto loan payment has reached $770 for new vehicles, and $531 for used vehicles, as consumers face high prices and high interest rates.

And delinquencies of 90 days or more have reached 5.6%, according to the Federal Reserve Bank of New York.

“You see the need of these consumers going out purchasing high-value vehicles, not understanding interest rates,” said LaTrisha Gandy, Asset Building Counselor with Justine Petersen.

Justine Petersen’s DRIVE program helps consumers who qualify rebuild their credit scores and refinance their vehicles at a flat 8% rate.

 

“Instead of paying a $700 car note, you’re paying a $400 car note. And also, you’re paying that car off sooner than you were at a 30% interest rate,” explained Gandy.

To qualify, she says drivers must have a 580 credit score, a loan rate over 15%, not owe more than the car is worth, make on-time payments, and be registered and insured.

But for those who don’t qualify, Justine Petersen offers free credit counseling to help them qualify. Plus, it administers the city of St. Louis’s Health & Safety Loans to help drivers pay for registration and insurance.

“It’s all about building your credit, saving on debt, reducing your debt, a pathway to more generational wealth,” said Gandy.

 

Now that Henry has boosted his credit score, he’s refinancing his truck again.

“An even better rate. It’s going to put more money back in my savings and my pocket,” he said.

In addition to Justine Petersen, consumers can also find credit counselors through the National Foundation for Credit Counseling. NerdWallet provides a look a lenders that also offer auto loan refinancing.

Copyright 2026 KMOV. All rights reserved.

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