What Determines Your Auto Loan Rate in Midlothian, IL?
Many factors contribute to your Illinois auto 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 high debt-to-income ratio, low credit score, or purchasing an older car from a dealer in Midlothian could mean a higher interest rate. But is a high interest rate so bad? The higher of an interest rate you have, the more you pay each month and the more you spend in total. Even a rate one or two percent higher could mean spending hundreds more overall.
Can I Lower My Car Loan Rate in Midlothian, IL?
You can use tools like our Interest Rate Estimator to get a feel for what your rate could be before you complete an application for a car loan in Midlothian, IL. If you've plugged in your information and aren't liking the percentage you see, what can be done to lower it?
The loan term is one factor you can change on your own. Most auto loans in Midlothian 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, a longer term also tends to come with a higher interest rate. If you can afford a higher monthly payment, it's better to choose a shorter term. The Auto Payment Calculator estimates what your monthly payment could be based on different interest rates and terms to help you figure out what you can afford.
If your credit is less than stellar, improving your score could bring your interest rate down. Our Guide to Better Credit for Auto Financing can help you understand where your credit score comes from and which steps you can take today to bring it up quickly. It may take some time and work to better your credit score, but it's worth it to get those lower Illinois car loan rates.
Waiting to find the right lender can also help you get a lower rate. While lenders take the same information into consideration, you won't see the same interest rate from each one. It's important to shop around and compare offers to find the best car loan rate in Midlothian, IL — even without the best credit or income. You shouldn't go with the first offer you receive because there might be a better one just around the corner. Don't forget some lenders leave room 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 Midlothian, IL with myAutoloan
myAutoloan wants to help you find the lowest auto loan rates in Midlothian, IL regardless of your credit score and the type of car you're buying. We'll show you up to four loans at once so you can get the right deal. Simply complete our secure online application, select the best loan for you, and head down to a dealer in Midlothian to purchase a new ride. Apply now to check today's lowest interest rates!