How Are Gilbert, AZ Car Loan Rates Determined?
Various factors influence your Arizona auto loan rate, including your credit score, the amount of the loan, your income, the car's age, the down payment, and the length of the loan (your loan's term). A low credit score, high debt-to-income ratio, or purchasing an older vehicle from your Gilbert dealer could mean a higher interest rate. But what's so bad about a high interest rate? The higher your interest rate gets, the higher your monthly bill is and the more you spend over the life of your loan. Even a rate one or two percent higher could mean spending hundreds more overall.
How Do I Lower My Auto Loan Rate in Gilbert, AZ?
Online tools like our Interest Rate Estimator will give you an idea of what your rate might be before you begin applying for auto loans in Gilbert, AZ. If you've put in your information and don't like the percentage you see, what steps can you take to lower it?
The loan term is one factor you can change on your own. Most Gilbert car loans are available with terms in 12-month increments between 2 years (24 months) and 7 years (84 months). Longer terms attract many borrowers because they usually mean a lower monthly payment. But longer terms tend to also come with higher interest rates. If you can afford a bigger monthly payment, it's better to choose a shorter term. The Auto Payment Calculator shows what your monthly payments might look like with different interest rates and terms to help you see what you can afford.
If you have less than stellar credit, improving your score could decrease your interest rate. Our Guide to Better Credit for Auto Financing can help you understand where your credit score comes from and the steps you can take now to raise it quickly. It may take some time and work to better your credit score, but it's all worth it for getting those lower auto loan rates in Arizona.
Putting effort into finding the right lender can also help you get a lower rate. While lenders will look at the same information, each one might give you a different interest rate. You need to compare offers and shop around for the best auto loan rate in Gilbert, AZ — 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. Don't forget some lenders are open to negotiation, 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 Gilbert, AZ with myAutoloan
myAutoloan is dedicated to helping you find the lowest car loan rates in Gilbert, 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. Complete our secure online application, choose the best loan for you, and head down to a dealer in Gilbert to purchase a new ride. Apply now to check today's lowest interest rates!