How Are Auburn, CA Auto Loan Rates Determined?
Several factors contribute to your California car loan interest rate, Including your credit score, your income, the amount of the loan, the down payment, the age of the car, 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 Auburn might lead to a higher interest rate. But why worry about a high interest rate? The higher your interest rate, the more you pay each month and the more you spend over your loan’s term. Just one or two percent more could mean you spend hundreds more on interest.
Is There a Way to Lower My Auburn Car Loan Rate?
Using tools like our Interest Rate Estimator can help you get an idea of what your rate might look like before you begin applying for auto loans in Auburn, CA. If you've put in your information and are unhappy with the percentage you see, what steps can you take to lower it?
The loan term is one element you have a lot of control over. Most auto loans in Auburn have terms ranging from 24 months (2 years) to 84 months (7 years) in 12-month intervals. Many borrowers take longer terms because they usually have a lower monthly payment. However, longer terms also tend to come with higher interest rates. If you can handle a higher monthly payment, it's better to choose a shorter term. The Auto Payment Calculator estimates what your monthly payment could be depending on different interest rates and terms to help you decide what you can afford.
If you have less than stellar credit, raising your score could decrease your interest rate. Our Guide to Better Credit for Auto Financing will help you understand what goes into a credit score and which steps you can take to bring it up fast. 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 California.
Waiting to find the right lender can also help you get a lower rate. While lenders take the same information into consideration, you'll likely receive a different interest rate from each one. You need to shop around and compare offers to find the best auto loan rate in Auburn, CA — even if you don't have the highest income or best credit. You don't want to choose the first offer you get because a better one could be right around the corner. Keep in mind 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 Auburn, CA with myAutoloan
myAutoloan is committed to helping you find the lowest auto loan rates in Auburn, CA regardless of what type of vehicle you're buying or your credit score. We'll present you with up to four loans at once so you can find the best deal. Complete our secure online application, choose the loan that looks best to you, and head to your Auburn dealer to purchase a new ride. Apply now to see today's lowest interest rates!