How Are Merrill, MI Auto Loan Rates Determined?
Many factors influence your Michigan 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, low credit score, or purchasing an older car from a dealer in Merrill could mean a higher interest rate. But why worry about a high interest rate? The higher of an interest rate you have, the higher your monthly payment is and the more you spend over the term of your loan. Just one or two percent more could mean you spend hundreds more on interest.
Is There a Way to Lower My Merrill Car Loan Rate?
Online tools like our Interest Rate Estimator will give you a feel for what your rate could be before having to apply for a car loan in Merrill, MI. If you've put in your information and don't like the percentage you see, how can you lower?
The loan term is one thing you can change on your own. Most auto loans in Merrill 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 the monthly payment is usually lower. But longer terms tend to also come with higher interest rates. If you can afford 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 terms and interest rates to help you determine what you can afford.
If you have less than ideal credit, increasing your score could decrease your interest rate. 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. Your credit score may take some more time and work, but it'll be worth it once you see those lower Michigan auto loan rates.
Taking the time to hunt down the right lender can also help you secure a lower rate. While lenders will use the same information, you won't see the same interest rate from each one. Shopping around and comparing offers will help you find the best auto loan rate in Merrill, 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. Don't forget some lenders leave room for 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 Merrill, MI with myAutoloan
myAutoloan is here to help you get the lowest auto loan rates in Merrill, MI no matter what type of car you're buying or your credit score. You can see up to four loans at once so you can find the best deal. Fill out our secure online application, choose the loan that looks best to you, and head down to a dealer in Merrill to purchase a new ride. Apply now to see today's lowest interest rates!