How Are Butte, MT Auto Loan Rates Determined?
Several factors impact your Montana car loan interest rate, including your credit score, the amount of the loan, your income, the down payment, your loan's term (the length of the loan), and the car's age. A poor credit score, low income, or buying an older vehicle from a dealer in Butte might lead to a higher interest rate. But is a high interest rate so bad? The higher your interest rate is, the higher your monthly payment becomes and the more you spend over your loan’s term. A difference of just one or two percent could mean spending hundreds more on interest.
Is There a Way to Lower My Butte Car Loan Rate?
You can use tools like our Interest Rate Estimator to get a feel for what your rate might look like before having to apply for a car loan in Butte, MT. If you've filled out your information and aren't liking the percentage you see, what can be done to lower it?
The loan term is one element you have total control over. Most car loans in Butte have terms in 12-month intervals ranging from 24 months (2 years) to 84 months (7 years). Longer terms will tempt many borrowers because they usually have a lower monthly payment. But longer terms are also likely to come with higher interest rates. If you can afford a bigger monthly payment, it's smart to choose a shorter term. The Auto Payment Calculator shows your possible monthly payment with different interest rates and terms to help you determine what might be affordable.
If your credit is far from great, improving your score could bring your interest rate down. Our Guide to Better Credit for Auto Financing can help you understand where your credit score comes from and the steps you can take now to raise it quickly. Your credit score will take some effort and time to build, but it'll be worth it once you see those lower Montana auto 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 see the same interest rate from each one. You need to shop around and compare offers to find the best auto loan rate in Butte, MT — even without a high income or credit score. You don't want to go with the first offer you receive because there could be a better one right around the corner. Plus, some lenders allow for negotiation, so you can take an offer from one lender to the next to see if they'll beat the interest rate.
See the Best Auto Loan Rates in Butte, MT with myAutoloan
myAutoloan is here to help you get the lowest auto loan rates in Butte, MT 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 secure online application, pick the loan that works best for you, and head down to a dealer in Butte to purchase a new ride. Don't wait to apply and check today's lowest interest rates!