What Determines Your Auto Loan Rate in Cocoa, FL?
A handful of factors contribute to your Florida 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 high debt-to-income ratio, low credit score, or purchasing an older car from a dealer in Cocoa might lead to a higher interest rate. But why is a high interest rate bad? The higher your interest rate, the higher your monthly payment is and the more you spend over the term of your loan. A difference of one or two percent might not seem like much, but it could mean you spend hundreds more on interest.
How Do I Lower My Auto Loan Rate in Cocoa, FL?
Online tools like our Interest Rate Estimator will give you a feel for what your rate could be before you complete an application for a car loan in Cocoa, FL. If you've plugged in your information and don't like the percentage you see, what can be done to lower it?
The loan term is one aspect you can control. Most car loans in Cocoa 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, longer terms also tend to come with higher interest rates. If you can afford a bigger monthly payment, it's wise 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 might work for your budget.
If your credit is less than stellar, increasing your score could bring your interest rate down. Use our Guide to Better Credit for Auto Financing to better understand what determines your credit score 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 worth it for those lower Florida auto loan rates.
Putting effort into finding the right lender can also help you snag 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 Cocoa, FL — even without the best credit or income. You shouldn't automatically choose the first offer you get because a better one could be right around the corner. Plus, some lenders are open to negotiation, so you can take an offer from one lender to another to see if they're willing to beat the interest rate.
Find the Best Auto Loan Rates in Cocoa, FL with myAutoloan
myAutoloan is dedicated to helping you find the lowest car loan rates in Cocoa, FL no matter what type of car you're buying or your credit score. You can see up to four loans at once so you can find the best deal. Fill out our simple and secure online application, pick the loan that works best for you, and purchase a new ride from your {City}} dealer. Don't wait to apply and check today's lowest interest rates!