What Determines Your Auto Loan Rate in Pensacola, 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, poor credit score, or choosing an older vehicle at your Pensacola dealership could mean a higher interest rate. But is a high interest rate so bad? The higher your interest rate is, the higher your monthly bill is and the more you spend in total. Even a rate one or two percent higher could mean spending hundreds more on interest.
How Do I Lower My Auto Loan Rate in Pensacola, FL?
Using tools like our Interest Rate Estimator can help you get an idea of what your rate might be before you begin applying for auto loans in Pensacola, FL. 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 element you can control. Most auto loans in Pensacola are available with terms in 12-month increments between 2 years (24 months) and 7 years (84 months). Longer terms attract many borrowers because they usually have a lower monthly payment. But longer terms are also likely to come with higher interest rates. If you can handle a higher monthly payment, choosing a shorter term is a good move. The Auto Payment Calculator shows what your monthly payment might be based on different interest rates and terms to help you figure out what you might be able to afford.
If you have less than ideal 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. Your credit score may take some more time and work, but it's worth it to get those lower Florida car loan rates.
Taking some time to find the right lender can also help you snag a lower rate. While lenders will look at the same information, 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 Pensacola, FL — 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 could be right around the corner. Keep in mind some lenders allow for negotiation, so you can take your offer from one lender to another to see if they're willing to give an even lower rate.
Find the Best Auto Loan Rates in Pensacola, FL with myAutoloan
myAutoloan is committed to helping you find the lowest auto loan rates in Pensacola, FL no matter your credit score or the type of car you're buying. You can see up to four loans at once so you can get the right deal. Complete our secure online application, choose the loan that looks best to you, and head down to a dealer in Pensacola to purchase a new ride. Apply now to see today's lowest interest rates!