How Are Car Loan Rates in Northbrook, IL Calculated?
Various factors contribute to your Illinois auto loan interest 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 low credit score, high debt-to-income ratio, or purchasing an older vehicle from your Northbrook dealer could lead to a higher interest rate. But why worry about a high interest rate? The higher your interest rate is, the more you pay each month 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 Get a Lower Car Loan Interest in Northbrook, IL?
With tools like our Interest Rate Estimator, you can get an idea of what your rate might be before you complete an application for a car loan in Northbrook, IL. If you've put in your information and aren't happy with the percentage you see, how can you lower?
The loan term is one element you have a lot of control over. Most Northbrook auto loans are available with terms in 12-month increments between 2 years (24 months) and 7 years (84 months). Many borrowers are drawn in by longer terms because they usually have a lower monthly payment. But longer terms are also likely to come with higher interest rates. If your budget allows for a higher monthly payment, choosing a shorter term is a good move. The Auto Payment Calculator estimates what your monthly payment could be depending on different interest rates and terms to help you determine what you can afford.
If you have less than ideal credit, increasing your score could bring your interest rate down. Our Guide to Better Credit for Auto Financing walks you through what determines your credit score and how you can quickly bring it up. Your credit score may take some more time and work, but it's all worth it for getting those lower auto loan rates in Illinois.
Waiting to find 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. You need to compare offers and shop around for the best auto loan rate in Northbrook, IL — even without 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. Keep in mind some lenders leave room for 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 Northbrook, IL with myAutoloan
myAutoloan is committed to helping you find the lowest auto loan rates in Northbrook, IL regardless of what type of vehicle you're buying or your credit score. We'll show you up to four loans at once so you can find the best deal. Simply complete our secure online application, choose the best loan for you, and purchase a new ride from your {City}} dealer. Apply today to see the current lowest interest rates!