How Are Silver Spring, MD Car Loan Rates Determined?
Many factors contribute to your Maryland auto loan interest rate, including the loan amount, your credit score, your income, the car's age, the down payment, and the length of the loan (your loan's term). A high debt-to-income ratio, low credit score, or purchasing an older car from a dealer in Silver Spring might lead to a higher interest rate. But why worry about a high interest rate? The higher your interest rate, the higher your monthly payment becomes and the more you spend over the life of your loan. Even a rate one or two percent higher could mean spending hundreds more overall.
Is There a Way to Lower My Silver Spring Car Loan Rate?
Online tools like our Interest Rate Estimator will give you a feel for what your rate might look like before having to apply for a car loan in Silver Spring, MD. If you've supplied your information and aren't happy with the percentage you see, how can you lower?
The loan term is one factor you have total control over. Most Silver Spring car loans have terms in 12-month increments between 24 months (2 years) and 84 months (7 years). Many borrowers take longer terms because they usually have a lower monthly payment. However, a longer term also tends to come with a higher interest rate. If you can afford a bigger monthly payment, it's better to choose a shorter term. The Auto Payment Calculator shows your possible monthly payment with different terms and interest rates to help you see what might be affordable.
If your credit is less than stellar, improving your score could lower your interest rate. Our Guide to Better Credit for Auto Financing can help you understand where your credit score comes from and how you can quickly bring it up. Your credit score will take some effort and time to build, but it's worth it to get those lower Maryland car loan rates.
Taking some time to find the right lender can also help you achieve 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 Silver Spring, MD — even if you don't have the highest income or best credit. 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 are open to negotiation, so you can take an offer from one lender to the next to see if they'll beat the interest rate.
Find the Best Auto Loan Rates in Silver Spring, MD with myAutoloan
myAutoloan is committed to helping you find the lowest auto loan rates in Silver Spring, MD no matter your credit score or 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 secure online application, select the best loan for you, and head down to a dealer in Silver Spring to purchase a new ride. Apply now to see today's lowest interest rates!