How Are Lodi, CA Auto Loan Rates Determined?
Various factors influence your California car loan interest rate, including the loan amount, your credit score, your income, the down payment, the age of the car, and your loan's term (the length of the loan). A low credit score, high debt-to-income ratio, or purchasing an older vehicle from your Lodi dealer might lead to a higher interest rate. But why worry about a high interest rate? The higher your interest rate gets, the higher your monthly payment is and the more you spend over your loan’s term. A difference of one or two percent might not seem like much, but it could mean spending hundreds more on interest.
How Do I Get a Lower Car Loan Interest in Lodi, CA?
You can use tools like our Interest Rate Estimator to get a feel for what your rate might look like before you complete an application for a car loan in Lodi, CA. If you've plugged in your information and are unhappy with the percentage you see, what can be done to lower it?
The loan term is one thing you have total control over. Most Lodi auto loans have terms in 12-month intervals ranging from 24 months (2 years) to 84 months (7 years). Longer terms will tempt many borrowers because they usually have a lower monthly payment. But longer terms tend to also 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 your possible monthly payment based on different interest rates and terms to help you decide what you can afford.
If your credit is far from great, raising your score could lower your interest rate. Our Guide to Better Credit for Auto Financing walks you through what determines your 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 worth it to get those lower California car loan rates.
Taking some time to find the right lender can also help you snag a lower rate. While lenders will consider the same information, you won't receive the same interest rate from each one. Shopping around and comparing offers will help you find the best auto loan rate in Lodi, CA — even if you don't have the highest income or best credit. You don't want to go with the first offer you receive because there might be a better one just around the corner. And, some lenders allow for negotiation, so you can take an offer from one lender to the other to see if they can beat the interest rate.
Find the Best Auto Loan Rates in Lodi, CA with myAutoloan
myAutoloan is here to help you get the lowest auto loan rates in Lodi, CA 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, choose the loan that looks best to you, and visit your Lodi dealer to purchase a new car. Apply now to check today's lowest interest rates!