How Are Car Loan Rates in Farmington, ME Calculated?
Many factors contribute to your Maine car loan interest rate, including your credit score, the amount of the loan, your income, 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 Farmington could result in a higher interest rate. But why worry about a high interest rate? The higher your interest rate is, the higher your monthly payment is and the more you spend in total. A difference of just one or two percent could mean spending hundreds more overall.
Can I Lower My Car Loan Rate in Farmington, ME?
You can use tools like our Interest Rate Estimator to get an idea of what your rate might look like before having to apply for a car loan in Farmington, ME. If you've put in your information and don't like the percentage you see, what can be done to lower it?
The loan term is one thing you can control. Most auto loans in Farmington 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 mean a lower monthly payment. But longer terms tend to also come with higher interest rates. If you can afford a bigger monthly payment, it's better to choose a shorter term. The Auto Payment Calculator estimates what your monthly payment could be based on different interest rates and terms to help you decide what you can afford.
If your credit is far from great, 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 effort and time to increase your credit score, but it's worth it for those lower Maine auto loan rates.
Waiting to find the right lender can also help you get a lower rate. While lenders will look at 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 Farmington, ME — even without a high income or credit score. You don't want to go with the first offer you receive because there could be a better one right around the corner. Don't forget 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.
Discover the Best Auto Loan Rates in Farmington, ME with myAutoloan
myAutoloan is here to help you get the lowest auto loan rates in Farmington, ME no matter your credit score or 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. Simply complete our secure online application, choose the best loan for you, and head to your Farmington dealer to purchase a new ride. Don't wait to apply and check today's lowest interest rates!