What Determines Your Auto Loan Rate in Anchorage, AK?
Various factors impact your Alaska auto loan rate, Including your credit score, your income, the amount of the loan, the car's age, the down payment, and the length of the loan (your loan's term). A high debt-to-income ratio, low credit score, or purchasing an older car from a dealer in Anchorage could mean a higher interest rate. But is a high interest rate so bad? The higher your interest rate is, the higher your monthly payment becomes and the more you spend in total. A difference of one or two percent might not seem like much, but it could mean spending hundreds more on interest.
How Can I Get a Lower Car Loan Rate in Anchorage, AK?
You can use tools like our Interest Rate Estimator to get an idea of what your rate might look like before having to apply for a car loan in Anchorage, AK. If you've filled out your information and are unhappy with the percentage you see, how can you lower?
The loan term is one aspect you have a lot of control over. Most Anchorage auto loans are available with terms in 12-month increments between 2 years (24 months) and 7 years (84 months). Longer terms will tempt many borrowers because they typically have a lower monthly payment. However, longer terms also tend to come with higher interest rates. If you can afford a higher monthly payment, it's wise to choose a shorter term. The Auto Payment Calculator estimates what your monthly payment could be based on different interest rates and terms to help you determine what might work for your budget.
If you have less than ideal credit, increasing your score could lower your interest rate. Our Guide to Better Credit for Auto Financing walks you through what determines your credit score and how you can quickly bring it up. It may take some time and work to better your credit score, but it's worth it for those lower Alaska auto loan rates.
Waiting to find the right lender can also help you secure a lower rate. While lenders will consider the same information, you'll likely receive a different interest rate from each one. Shopping around and comparing offers will help you find the best auto loan rate in Anchorage, AK — even if you don't have the best credit or income. You shouldn't automatically choose the first offer you get because a better one might be waiting just around the corner. Plus, some lenders will negotiate, so you can take an offer from one lender to the next to see if they'll beat the interest rate.
See the Best Auto Loan Rates in Anchorage, AK with myAutoloan
myAutoloan is committed to helping you find the lowest auto loan rates in Anchorage, AK no matter your credit score or the type of car you're buying. We'll show you up to four loans at once so you can find the right deal. Fill out our simple and secure online application, select the best loan for you, and head to your Anchorage dealer to purchase a new ride. Don't wait to apply and check today's lowest interest rates!