How Are Florence, KY Car Loan Rates Determined?
A handful of factors influence your Kentucky auto loan rate, including the loan amount, your credit score, 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, poor credit score, or choosing an older vehicle at your Florence dealership might lead to a higher interest rate. But why worry about a high interest rate? The higher your interest rate gets, the higher your monthly payment is and the more you spend over your loan’s term. Even a rate one or two percent higher could mean you spend hundreds more on interest.
Can I Lower My Car Loan Rate in Florence, KY?
You can use tools like our Interest Rate Estimator to get an idea of what your rate might be before having to apply for a car loan in Florence, KY. If you've filled out your information and don't like the percentage you see, what can be done to lower it?
The loan term is one aspect you have a lot of control over. Most car loans in Florence have terms in 12-month intervals ranging from 24 months (2 years) to 84 months (7 years). Many borrowers take longer terms because they usually have a lower monthly payment. However, a longer term also tends to come with a higher interest rate. If you can afford a bigger monthly payment, choosing a shorter term is a good move. The Auto Payment Calculator shows what your monthly payments might look like based on different interest rates and terms to help you determine what might work for your budget.
If you have less than ideal credit, boosting 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. It may take some time and work to better your credit score, but it's worth it to get those lower Kentucky car loan rates.
Waiting to find the right lender can also help you secure a lower rate. While lenders will consider the same information, you won't receive the same interest rate from each one. You need to shop around and compare offers to find the best auto loan rate in Florence, KY — even without the best credit or income. You don't want to go with the first offer you receive because there might be a better one just around the corner. Plus, some lenders leave room for negotiation, so you can take an offer from one lender to the other to see if they can beat the interest rate.
See the Best Auto Loan Rates in Florence, KY with myAutoloan
myAutoloan is here to help you get the lowest auto loan rates in Florence, KY 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. Simply complete our secure online application, select the best loan for you, and purchase a new ride from your {City}} dealer. Apply now to see today's lowest interest rates!