How Are Eastpointe, MI Car Loan Rates Determined?
Many factors influence your Michigan auto loan interest rate, Including your credit score, your income, the amount of the loan, the down payment, the age of the car, and your loan's term (the length of the loan). A low credit score, high debt-to-income ratio, or purchasing an older vehicle from your Eastpointe dealer might lead to a higher interest rate. But what's so bad about a high interest rate? The higher your interest rate gets, the more you pay each month and the more you spend in total. A difference of one or two percent might not seem like much, but it could mean spending hundreds more overall.
Can I Lower My Car Loan Rate in Eastpointe, MI?
Online tools like our Interest Rate Estimator will give you a feel for what your rate might look like before you start applying for auto loans in Eastpointe, MI. If you've filled out your information and aren't happy with the percentage you see, what can be done to lower it?
The loan term is one factor you have total control over. Most Eastpointe car loans 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 better to choose a shorter term. The Auto Payment Calculator shows your possible monthly payment with different terms and interest rates to help you determine what you can 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 walks you through what determines your credit score and the steps you can take now to raise it quickly. Your credit score may take some more time and work, but it's worth it to get those lower Michigan car loan rates.
Putting effort into finding the right lender can also help you snag a lower rate. While lenders will look at the same information, you won't receive the same interest rate from each one. It's important to shop around and compare offers to find the best car loan rate in Eastpointe, MI — 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. And, some lenders are open to negotiation, so you can take an offer from one lender to another to see if they're willing to beat the interest rate.
Discover the Best Auto Loan Rates in Eastpointe, MI with myAutoloan
myAutoloan is committed to helping you find the lowest auto loan rates in Eastpointe, MI regardless of what type of vehicle you're buying or your credit score. You can see up to four loans at once so you can find the right deal. Fill out our secure online application, choose the loan that looks best to you, and head down to a dealer in Eastpointe to purchase a new ride. Apply now to see today's lowest interest rates!