How Are Car Loan Rates in Urbana, MO Calculated?
Various factors impact your Missouri auto loan interest rate, including the loan amount, your credit score, your income, the age of the car, the down payment, and your loan's term (the length of the loan). A high debt-to-income ratio, low credit score, or purchasing an older car from a dealer in Urbana could result in a higher interest rate. But why worry about a high interest rate? The higher your interest rate is, the higher your monthly payment is and the more you spend over your loan’s term. Just one or two percent more could mean spending hundreds more overall.
How Can I Get a Lower Car Loan Rate in Urbana, 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 Urbana, MO. If you've plugged in your information and aren't happy with the percentage you see, what can be done to lower it?
The loan term is one aspect you have total control over. Most Urbana car loans are available with terms in 12-month increments between 2 years (24 months) and 7 years (84 months). Many borrowers take 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, it's better to choose a shorter term. The Auto Payment Calculator shows what your monthly payment might be depending on different interest rates and terms to help you decide what you can afford.
If your credit is less than stellar, boosting your score could lower your interest rate. Our Guide to Better Credit for Auto Financing will help you understand what goes into a 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 Missouri car loan rates.
Taking some time to find the right lender can also help you secure a lower rate. While lenders will look at the same information, each one might give you a different interest rate. You need to compare offers and shop around for the best auto loan rate in Urbana, MO — even without the best credit or income. You shouldn't go with the first offer you receive because a better one might be waiting just around the corner. Keep in mind some lenders leave room for negotiation, so you can take an offer from one lender to the other to see if they can beat the interest rate.
Find the Best Auto Loan Rates in Urbana, MO with myAutoloan
myAutoloan wants to help you find the lowest auto loan rates in Urbana, MO regardless of your credit score and the type of car you're buying. You can look at up to four loans at once so you can find the best deal. Fill out our secure online application, select the best loan for you, and visit your Urbana dealer to purchase a new car. Apply now to check today's lowest interest rates!