What Determines Your Auto Loan Rate in Ypsilanti, MI?
A handful of factors contribute to 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 Ypsilanti could mean a higher interest rate. But why worry about a high interest rate? The higher your interest rate gets, the higher your monthly payment becomes and the more you spend over your loan’s term. Just one or two percent more could mean spending hundreds more on interest.
Can I Lower My Car Loan Rate in Ypsilanti, MI?
Using tools like our Interest Rate Estimator can help you get an idea of what your rate might look like before you begin applying for auto loans in Ypsilanti, MI. If you've supplied your information and are unhappy with the percentage you see, what steps can you take to lower it?
The loan term is one thing you have a lot of control over. Most auto loans in Ypsilanti have terms in 12-month intervals ranging from 24 months (2 years) to 84 months (7 years). Longer terms attract many borrowers because the monthly payment is usually lower. However, longer terms also tend to come with higher interest rates. If you can afford a bigger monthly payment, it's wise to choose a shorter term. The Auto Payment Calculator shows your possible monthly payment based on different interest rates and terms to help you determine what might work for your budget.
If you have less than ideal credit, improving your score could help lower your interest rate. Use our Guide to Better Credit for Auto Financing to better understand what determines your credit score and which steps you can take to bring it up fast. It may take some time and work to better your credit score, but it's worth it to get those lower Michigan car loan rates.
Waiting to find the right lender can also help you achieve a lower rate. While lenders take the same information into consideration, you won't receive the same interest rate from each one. Shopping around and comparing offers will help you find the best auto loan rate in Ypsilanti, MI — 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 will negotiate, so you can take an offer from one lender to another to see if they're willing to beat the interest rate.
Find the Best Auto Loan Rates in Ypsilanti, MI with myAutoloan
myAutoloan is committed to helping you find the lowest auto loan rates in Ypsilanti, MI regardless of what type of vehicle you're buying or your credit score. We'll show you up to four loans at once so you can find the best deal. Fill out our simple and secure online application, choose the best loan for you, and visit your Ypsilanti dealer to purchase a new car. Apply today to see the current lowest interest rates!