How Are Laurel, MS Auto Loan Rates Determined?
A handful of factors influence your Mississippi 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 Laurel could lead to a higher interest rate. But why is a high interest rate bad? The higher your interest rate, the higher your monthly payment becomes and the more you spend over your loan’s term. Even a rate one or two percent higher could mean you spend hundreds more on interest.
How Do I Lower My Auto Loan Rate in Laurel, MS?
Online tools like our Interest Rate Estimator will give you an idea of what your rate might look like before having to apply for a car loan in Laurel, MS. If you've put in your information and aren't liking the percentage you see, what can be done to lower it?
The loan term is one thing you have total control over. Most Laurel auto loans have terms in 12-month intervals ranging from 24 months (2 years) to 84 months (7 years). Many borrowers are drawn in by longer terms because the monthly payment is usually lower. However, a longer term also tends to come with a higher interest rate. If you can afford a bigger monthly payment, choosing a shorter term is a good move. The Auto Payment Calculator shows your possible monthly payment with different interest rates and terms to help you figure out what you might be able to afford.
If your credit is less than stellar, raising your score could 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 today to bring it up quickly. Your credit score will take some effort and time to build, but it's worth it for those lower Mississippi auto loan rates.
Putting effort into finding the right lender can also help you achieve a lower rate. While lenders will use the same information, you won't see the same interest rate from each one. You need to shop around and compare offers to find the best auto loan rate in Laurel, MS — even without the best credit or income. You shouldn't go with the first offer you receive because a better one could be right around the corner. Keep in mind 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.
Use myAutoloan to Check the Best Auto Loan Rates in Laurel, MS
myAutoloan wants to help you find the lowest auto loan rates in Laurel, MS 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 simple and secure online application, pick the loan that works best for you, and purchase a new ride from your {City}} dealer. Apply today to see the current lowest interest rates!