What Determines Your Auto Loan Rate in Fort Collins, CO?
Various factors impact your Colorado auto loan 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 Fort Collins dealer could result in a higher interest rate. But what's so bad about a high interest rate? 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.
How Do I Get a Lower Car Loan Interest in Fort Collins, CO?
You can use tools like our Interest Rate Estimator to get an idea of what your rate might be before you complete an application for a car loan in Fort Collins, CO. If you've supplied your information and aren't happy with the percentage you see, what steps can you take to lower it?
The loan term is one element you can change on your own. Most Fort Collins 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 the monthly payment is usually lower. However, a longer term also tends to come with a higher interest rate. If you can afford a higher monthly payment, it's smart to choose a shorter term. The Auto Payment Calculator shows what your monthly payment might be based on different interest rates and terms to help you decide what might be affordable.
If you have less than stellar credit, raising your score could bring your interest rate down. 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 worth it to get those lower Colorado car loan rates.
Putting effort into finding the right lender can also help you snag a lower rate. While lenders will use the same information, you'll likely receive a different interest rate from each one. You need to compare offers and shop around for the best auto loan rate in Fort Collins, CO — even if you don't have the best credit or income. You shouldn't go with the first offer you receive because there could be a better one right around the corner. Keep in mind some lenders allow for negotiation, so you can take an offer from one lender to another to see if they're willing to beat the interest rate.
Discover the Best Auto Loan Rates in Fort Collins, CO with myAutoloan
myAutoloan is here to help you get the lowest auto loan rates in Fort Collins, CO no matter what type of car you're buying or your credit score. We'll show you up to four loans at once so you can find the perfect loan. Simply complete our secure online application, choose the loan that looks best to you, and visit your Fort Collins dealer to purchase a new car. Don't wait to apply and check today's lowest interest rates!