How Are Car Loan Rates in Avondale, AZ Calculated?
Many factors affect your Arizona car loan rate, including the loan amount, your credit score, your income, the age of the car, the down payment, and your loan's term (the length of the loan). A high debt-to-income ratio, low credit score, or purchasing an older car from a dealer in Avondale could lead to a higher interest rate. But is a high interest rate so bad? The higher of an interest rate you have, the more you pay each month and the more you spend over the life of your loan. A difference of one or two percent might not seem like much, but it could mean spending hundreds more overall.
Can I Lower My Car Loan Rate in Avondale, AZ?
Online tools like our Interest Rate Estimator will give you a feel for what your rate could be before you complete an application for a car loan in Avondale, AZ. If you've plugged in your information and are unhappy with the percentage you see, what can you do to lower it?
The loan term is one element you can change on your own. Most Avondale car 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 the monthly payment is usually lower. But longer terms are also likely to come with higher interest rates. If you can afford a bigger monthly payment, choosing a shorter term is a good move. The Auto Payment Calculator shows what your monthly payment might be based on different interest rates and terms to help you decide what might work for your budget.
If your credit is far from great, boosting your score could lower your interest rate. Our Guide to Better Credit for Auto Financing will help you understand what goes into a credit score and how you can quickly bring it up. It may take some time and work to better your credit score, but it'll be worth it once you see those lower Arizona auto loan rates.
Putting effort into finding the right lender can also help you achieve a lower rate. While lenders will use the same information, you'll likely receive a different interest rate from each one. It's important to shop around and compare offers to find the best car loan rate in Avondale, AZ — even without the best credit or income. You don't want to choose the first offer you get because there could be a better one right around the corner. Plus, some lenders will negotiate, so you can take your offer from one lender to another to see if they're willing to give an even lower rate.
See the Best Auto Loan Rates in Avondale, AZ with myAutoloan
myAutoloan is here to help you get the lowest auto loan rates in Avondale, AZ regardless of what type of vehicle you're buying or your credit score. You can look at up to four loans at once so you can find the best deal. Fill out our simple and secure online application, pick the loan that works best for you, and head to your Avondale dealer to purchase a new ride. Apply now to check today's lowest interest rates!