How Are Ellicott City, MD Auto Loan Rates Determined?
Several factors affect your Maryland auto loan rate, Including your credit score, your income, the amount of the loan, the down payment, your loan's term (the length of the loan), and the car's age. A high debt-to-income ratio, poor credit score, or choosing an older vehicle at your Ellicott City dealership could 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 bill is and the more you spend over the life of your loan. Just one or two percent more could mean spending hundreds more on interest.
How Do I Lower My Auto Loan Rate in Ellicott City, MD?
Using tools like our Interest Rate Estimator can help you get a feel for what your rate might look like before having to apply for a car loan in Ellicott City, MD. If you've filled out your information and aren't happy with the percentage you see, how can you lower?
The loan term is one thing you have a lot of control over. Most car loans in Ellicott City are available with terms in 12-month increments between 2 years (24 months) and 7 years (84 months). Many borrowers are drawn in by longer terms because they usually have a lower monthly payment. But longer terms are also likely to come with higher interest rates. If you can afford a higher monthly payment, choosing a shorter term is a good move. The Auto Payment Calculator estimates what your monthly payment could be with different terms and interest rates to help you see what might work for your budget.
If you have less than stellar credit, raising 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 the steps you can take now to raise it quickly. It may take some effort and time to increase your credit score, but it'll be worth it once you see those lower Maryland auto loan rates.
Waiting to find the right lender can also help you get a lower rate. While lenders will consider the same information, you won't receive the same interest rate from each one. You need to compare offers and shop around for the best auto loan rate in Ellicott City, MD — even if you don't have the best credit or income. You don't want to choose the first offer you get because a better one could be right around the corner. Keep in mind some lenders are open to negotiation, so you can take your offer from one lender to another to see if they're willing to give an even lower rate.
Find the Best Auto Loan Rates in Ellicott City, MD with myAutoloan
myAutoloan wants to help you find the lowest auto loan rates in Ellicott City, MD regardless of your credit score and the type of car you're buying. You can look at 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 purchase a new ride from your {City}} dealer. Apply now to check today's lowest interest rates!