What Determines Your Auto Loan Rate in Fairfield, CT?
Various factors influence your Connecticut car loan rate, including your income, your credits core, the loan amount, 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 Fairfield dealer might lead to a higher interest rate. But what's so bad about a high interest rate? The higher your interest rate is, the higher your monthly bill is and the more you spend over your loan’s term. Just one or two percent more could mean spending hundreds more on interest.
How Do I Lower My Auto Loan Rate in Fairfield, CT?
Online tools like our Interest Rate Estimator will give you a feel for what your rate might look like before you start applying for auto loans in Fairfield, CT. If you've filled out your information and aren't happy with the percentage you see, what steps can you take to lower it?
The loan term is one thing you can change on your own. Most auto loans in Fairfield have terms in 12-month intervals ranging from 24 months (2 years) to 84 months (7 years). Many borrowers take longer terms because the monthly payment is usually lower. However, a longer term also tends to come with a higher interest rate. If you can handle a higher 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 figure out what you might be able to afford.
If you have less than ideal credit, improving your score could lower your interest rate. Use our Guide to Better Credit for Auto Financing to better understand what determines your credit score and how you can quickly bring it up. It may take some time and work to better your credit score, but it's worth it to get those lower Connecticut car loan rates.
Taking the time to hunt down the right lender can also help you secure a lower rate. While lenders will look at the same information, each one might give you a different interest rate. It's important to shop around and compare offers to find the best car loan rate in Fairfield, CT — 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. And, 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.
Use myAutoloan to Check the Best Auto Loan Rates in Fairfield, CT
myAutoloan is dedicated to helping you find the lowest car loan rates in Fairfield, CT no matter your credit score or the type of car you're buying. We'll present you with up to four loans at once so you can get the right deal. Simply complete our secure online application, pick the loan that works best for you, and head to your Fairfield dealer to purchase a new ride. Apply now to see today's lowest interest rates!