What Determines Your Auto Loan Rate in Bloomington, IN?
Many factors influence your Indiana car loan interest rate, Including your credit score, your income, the amount of the loan, the down payment, your loan's term (the length of the loan), and the car's age. A poor credit score, low income, or buying an older vehicle from a dealer in Bloomington could mean a higher interest rate. But why is a high interest rate bad? The higher of an interest rate you have, the higher your monthly payment is and the more you spend in total. Even a rate one or two percent higher could mean spending hundreds more on interest.
Can I Lower My Car Loan Rate in Bloomington, IN?
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 Bloomington, IN. If you've supplied your information and aren't happy with the percentage you see, what steps can you take to lower it?
The loan term is one factor you have a lot of control over. Most car loans in Bloomington are available with terms in 12-month increments between 2 years (24 months) and 7 years (84 months). Longer terms will tempt many borrowers because they typically have a lower monthly payment. However, a longer term also tends to come with a higher interest rate. If you can handle a higher monthly payment, it's better to choose a shorter term. The Auto Payment Calculator shows what your monthly payments might look like with different terms and interest rates to help you determine what you might be able to afford.
If you have less than ideal credit, improving 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 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 Indiana car loan rates.
Taking the time to hunt down the right lender can also help you secure a lower rate. While lenders will use the same information, you'll likely receive a different interest rate from each one. It's important to shop around and compare offers to find the best car loan rate in Bloomington, IN — even if you don't have the highest income or best credit. 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 your offer from one lender to another to see if they're willing to give an even lower rate.
Use myAutoloan to Check the Best Auto Loan Rates in Bloomington, IN
myAutoloan is committed to helping you find the lowest auto loan rates in Bloomington, IN no matter your credit score or the type of car you're buying. You can look at up to four loans at once so you can find the perfect loan. Fill out our simple and secure online application, select the best loan for you, and head to your Bloomington dealer to purchase a new ride. Apply today to see the current lowest interest rates!