How Are Fenton, MO Car Loan Rates Determined?
Several factors affect your Missouri car loan 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 Fenton could result in a higher interest rate. But is a high interest rate so bad? The higher your interest rate is, the more you pay each month and the more you spend over the term of your loan. Just one or two percent more could mean spending hundreds more on interest.
How Do I Lower My Auto Loan Rate in Fenton, MO?
Online tools like our Interest Rate Estimator will give you an idea of what your rate might look like before you start applying for auto loans in Fenton, MO. If you've put in your information and don't like the percentage you see, what steps can you take to lower it?
The loan term is one element you have total control over. Most Fenton car loans have terms ranging from 24 months (2 years) to 84 months (7 years) in 12-month intervals. Many borrowers take longer terms because the monthly payment is usually lower. However, longer terms also tend to come with higher interest rates. If you can afford a higher monthly payment, choosing a shorter term is a good move. The Auto Payment Calculator estimates what your monthly payment could be depending on different interest rates and terms to help you figure out what you can afford.
If your credit is far from great, increasing your score could decrease your interest rate. Our Guide to Better Credit for Auto Financing walks you through what determines your credit score and which steps you can take today to bring it up quickly. It may take some time and work to better your credit score, but it'll be worth it once you see those lower Missouri 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, each one might give you a different interest rate. It's important to shop around and compare offers to find the best car loan rate in Fenton, MO — even if you don't have the best credit or income. You shouldn't automatically choose the first offer you get because a better one could be right around the corner. And, some lenders will negotiate, 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 Fenton, MO with myAutoloan
myAutoloan is dedicated to helping you find the lowest car loan rates in Fenton, MO 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 to your Fenton dealer to purchase a new ride. Apply now to see today's lowest interest rates!