How Are Rockville, MD Car Loan Rates Determined?
A handful of factors impact your Maryland car loan interest rate, including your credit score, the amount of the loan, 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, low credit score, or purchasing an older car from a dealer in Rockville could result in 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 your loan’s term. Just one or two percent more could mean you spend hundreds more on interest.
How Do I Get a Lower Car Loan Interest in Rockville, MD?
Online tools like our Interest Rate Estimator will give you a feel for what your rate might look like before you complete an application for a car loan in Rockville, MD. If you've plugged in your information and aren't happy with the percentage you see, how can you lower?
The loan term is one element you have a lot of control over. Most car loans in Rockville 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 mean a lower monthly payment. But longer terms are also likely to come with higher interest rates. If you can handle a higher monthly payment, it's smart to choose a shorter term. The Auto Payment Calculator shows what your monthly payments might look like with different interest rates and terms to help you determine what might be affordable.
If you have less than stellar credit, raising 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 the steps you can take now to raise it quickly. Your credit score will take some effort and time to build, but it's worth it to get those lower Maryland car loan rates.
Waiting to find 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 Rockville, MD — even without a high income or credit score. You shouldn't automatically choose the first offer you get because a better one could be right around the corner. Don't forget some lenders leave room 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 Rockville, MD with myAutoloan
myAutoloan is here to help you get the lowest auto loan rates in Rockville, MD no matter what type of car you're buying or your credit score. You can look at up to four loans at once so you can get the right deal. Fill out our secure online application, choose the best loan for you, and head down to a dealer in Rockville to purchase a new ride. Apply today to see the current lowest interest rates!