How Are Mayfield, KY Car Loan Rates Determined?
Various factors contribute to your Kentucky car loan 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 high debt-to-income ratio, low credit score, or purchasing an older car from a dealer in Mayfield could result in a higher interest rate. But is a high interest rate so bad? The higher your interest rate is, the higher your monthly payment becomes 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 spending hundreds more on interest.
How Do I Get a Lower Car Loan Interest in Mayfield, KY?
Online tools like our Interest Rate Estimator will give you an idea of what your rate might look like before having to apply for a car loan in Mayfield, KY. If you've filled out your information and aren't happy with the percentage you see, what can you do to lower it?
The loan term is one element you have total control over. Most Mayfield auto loans are available with terms in 12-month increments between 2 years (24 months) and 7 years (84 months). Longer terms attract many borrowers because they usually have a lower monthly payment. But longer terms tend to also come with higher interest rates. If your budget allows for a higher monthly payment, it's smart to choose a shorter term. The Auto Payment Calculator shows what your monthly payment might be based on different interest rates and terms to help you decide what might work for your budget.
If your credit is less than stellar, boosting 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 which steps you can take today to bring it up quickly. It may take some effort and time to increase your credit score, but it'll be worth it once you see those lower Kentucky 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, each one might give you a different interest rate. You need to shop around and compare offers to find the best auto loan rate in Mayfield, KY — even if you don't have the best credit or income. You shouldn't automatically choose the first offer you get because a better one could be right around the corner. Keep in mind some lenders allow for negotiation, so you can take an offer from one lender to the next to see if they'll beat the interest rate.
Discover the Best Auto Loan Rates in Mayfield, KY with myAutoloan
myAutoloan is here to help you get the lowest auto loan rates in Mayfield, KY 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. Fill out our simple and secure online application, pick the loan that works best for you, and head down to a dealer in Mayfield to purchase a new ride. Apply today to see the current lowest interest rates!