How Are Lincoln, NE Car Loan Rates Determined?
Several factors impact your Nebraska auto loan 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 high debt-to-income ratio, poor credit score, or choosing an older vehicle at your Lincoln dealership could lead to a higher interest rate. But what's so bad about a high interest rate? The higher your interest rate, the higher your monthly payment is and the more you spend over your loan’s term. A difference of one or two percent might not seem like much, but it could mean spending hundreds more on interest.
How Can I Get a Lower Car Loan Rate in Lincoln, NE?
Online tools like our Interest Rate Estimator will give you a feel for what your rate might look like before having to apply for a car loan in Lincoln, NE. If you've put in your information and aren't liking the percentage you see, what steps can you take to lower it?
The loan term is one aspect you have a lot of control over. Most Lincoln auto loans have terms in 12-month intervals ranging from 24 months (2 years) to 84 months (7 years). Longer terms will tempt 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 higher monthly payment, it's smart to choose a shorter term. The Auto Payment Calculator shows what your monthly payment might be with different terms and interest rates to help you figure out what might be affordable.
If you have less than stellar credit, increasing your score could decrease your interest rate. Our Guide to Better Credit for Auto Financing will help you understand what goes into a credit score and how you can quickly bring it up. Your credit score may take some more time and work, but it's worth it to get those lower Nebraska car 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. Shopping around and comparing offers will help you find the best auto loan rate in Lincoln, NE — even if you don't have the highest income or best credit. You don't want to go with the first offer you receive because a better one could be right around the corner. Plus, 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.
See the Best Auto Loan Rates in Lincoln, NE with myAutoloan
myAutoloan wants to help you find the lowest auto loan rates in Lincoln, NE regardless of your credit score and the type of car you're buying. You can see up to four loans at once so you can find the best deal. Fill out our simple and secure online application, choose the loan that looks best to you, and head to your Lincoln dealer to purchase a new ride. Apply now to see today's lowest interest rates!