How Are Elk Grove Village, IL Auto Loan Rates Determined?
Many factors influence your Illinois auto loan interest rate, including your credit score, the amount of the loan, your income, the age of the car, the down payment, 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 Elk Grove Village could mean a higher interest rate. But why worry about a high interest rate? The higher your interest rate gets, the higher your monthly payment becomes and the more you spend in total. A difference of just one or two percent could mean spending hundreds more on interest.
How Can I Get a Lower Car Loan Rate in Elk Grove Village, IL?
You can use tools like our Interest Rate Estimator to get a feel for what your rate might look like before having to apply for a car loan in Elk Grove Village, IL. If you've filled out your information and are unhappy with the percentage you see, what can be done to lower it?
The loan term is one element you have a lot of control over. Most Elk Grove Village auto loans have terms ranging from 24 months (2 years) to 84 months (7 years) in 12-month intervals. Many borrowers are drawn in by longer terms because they usually mean a lower monthly payment. However, longer terms also tend to come with higher interest rates. If you can afford a higher monthly payment, it's smart to choose a shorter term. The Auto Payment Calculator shows what your monthly payments might look like depending on different interest rates and terms to help you figure out what might be affordable.
If your credit is less than stellar, boosting 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 the steps you can take now to raise it quickly. Your credit score will take some effort and time to build, but it's worth it to get those lower Illinois car 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, you won't see the same interest rate from each one. You need to shop around and compare offers to find the best auto loan rate in Elk Grove Village, IL — even without the best credit or income. You don't want to go with the first offer you receive because a better one could be right around the corner. Don't forget some lenders are open to negotiation, so you can take an offer from one lender to the next to see if they'll beat the interest rate.
See the Best Auto Loan Rates in Elk Grove Village, IL with myAutoloan
myAutoloan is here to help you get the lowest auto loan rates in Elk Grove Village, IL no matter your credit score or the type of car you're buying. We'll show you up to four loans at once so you can get the right deal. Fill out our secure online application, select the best loan for you, and visit your Elk Grove Village dealer to purchase a new car. Apply today to see the current lowest interest rates!