How Are Bloomfield Hills, MI Car Loan Rates Determined?
Various factors influence your Michigan auto loan 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, poor credit score, or choosing an older vehicle at your Bloomfield Hills dealership could mean a higher interest rate. But is a high interest rate so bad? The higher your interest rate, the more you pay each month and the more you spend in total. Even a rate one or two percent higher could mean spending hundreds more on interest.
How Do I Lower My Auto Loan Rate in Bloomfield Hills, MI?
With tools like our Interest Rate Estimator, you can get a feel for what your rate might look like before you start applying for auto loans in Bloomfield Hills, MI. If you've supplied your information and aren't happy 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 Bloomfield Hills auto loans have terms in 12-month intervals ranging from 24 months (2 years) to 84 months (7 years). Longer terms will tempt many borrowers because they usually mean a lower monthly payment. However, a longer term also tends to come with a higher interest rate. If your budget allows for 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 figure out what might work for your budget.
If you have less than stellar credit, boosting your score could decrease 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. It may take some effort and time to increase your credit score, but it's all worth it for getting those lower auto loan rates in Michigan.
Taking some time to find the right lender can also help you get a lower rate. While lenders will look at 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 Bloomfield Hills, MI — even without the best credit or income. You don't want to go with the first offer you receive because a better one might be waiting just around the corner. Plus, 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 Bloomfield Hills, MI with myAutoloan
myAutoloan is here to help you get the lowest auto loan rates in Bloomfield Hills, MI no matter your credit score or the type of car you're buying. You can see up to four loans at once so you can find the right deal. Fill out our secure online application, pick the loan that works best for you, and head down to a dealer in Bloomfield Hills to purchase a new ride. Apply today to see the current lowest interest rates!