How Are Abingdon, MD Car Loan Rates Determined?
A handful of factors influence your Maryland auto loan interest 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 Abingdon might lead to a higher interest rate. But what's so bad about a high interest rate? The higher your interest rate gets, the higher your monthly payment is and the more you spend over the life 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 Can I Get a Lower Car Loan Rate in Abingdon, MD?
You can use tools like our Interest Rate Estimator to get a feel for what your rate could be before having to apply for a car loan in Abingdon, MD. If you've plugged in your information and are unhappy with the percentage you see, what steps can you take to lower it?
The loan term is one aspect you have a lot of control over. Most car loans in Abingdon 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 usually mean a lower monthly payment. However, longer terms also tend to come with higher interest rates. If you can afford a higher monthly payment, it's smart to choose a shorter term. The Auto Payment Calculator estimates what your monthly payment could be depending on different interest rates and terms to help you determine what you might be able to afford.
If your credit is far from great, raising your score could bring your interest rate down. Our Guide to Better Credit for Auto Financing can help you understand where your credit score comes from and which steps you can take today to bring it up quickly. Your credit score may take some more time and work, but it'll be worth it once you see those lower Maryland auto loan rates.
Taking the time to hunt down the right lender can also help you get a lower rate. While lenders will use the same information, you'll likely receive a different interest rate from each one. You need to compare offers and shop around for the best auto loan rate in Abingdon, MD — 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 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.
See the Best Auto Loan Rates in Abingdon, MD with myAutoloan
myAutoloan is dedicated to helping you find the lowest car loan rates in Abingdon, MD 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. Fill out our simple and secure online application, choose the loan that looks best to you, and head to your Abingdon dealer to purchase a new ride. Apply now to see today's lowest interest rates!