What Determines Your Auto Loan Rate in Kansas City, KS?
Various factors influence your Kansas 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 Kansas City could lead to a higher interest rate. But why worry about a high interest rate? The higher your interest rate is, the higher your monthly payment becomes and the more you spend in total. Even a rate one or two percent higher could mean you spend hundreds more on interest.
Can I Lower My Car Loan Rate in Kansas City, KS?
Online tools like our Interest Rate Estimator will give you a feel for what your rate could be before you start applying for auto loans in Kansas City, KS. If you've filled out your information and aren't liking the percentage you see, how can you lower?
The loan term is one element you have a lot of control over. Most Kansas City auto loans have terms in 12-month increments between 24 months (2 years) and 84 months (7 years). Longer terms attract many borrowers because the monthly payment is usually lower. However, a longer term also tends to come with a higher interest rate. If your budget allows for a higher monthly payment, it's wise to choose a shorter term. The Auto Payment Calculator shows what your monthly payments might look like with different interest rates and terms to help you determine what you might be able to afford.
If you have less than ideal credit, boosting your score could lower your interest rate. Our Guide to Better Credit for Auto Financing walks you through what determines your credit score and the steps you can take now to raise it quickly. It may take some time and work to better your credit score, but it's worth it for those lower Kansas auto loan rates.
Putting effort into finding the right lender can also help you secure a lower rate. While lenders will consider the same information, you'll likely receive a different interest rate from each one. Shopping around and comparing offers will help you find the best auto loan rate in Kansas City, KS — even without a high income or credit score. You don't want to choose the first offer you get because there might be a better one just around the corner. And, some lenders will negotiate, so you can take an offer from one lender to the other to see if they can beat the interest rate.
Discover the Best Auto Loan Rates in Kansas City, KS with myAutoloan
myAutoloan wants to help you find the lowest auto loan rates in Kansas City, KS regardless of your credit score and the type of car you're buying. We'll present you with up to four loans at once so you can find the right deal. Fill out our secure online application, select the best loan for you, and head down to a dealer in Kansas City to purchase a new ride. Apply now to see today's lowest interest rates!