How Are Shrewsbury, NJ Auto Loan Rates Determined?
A handful of factors affect your New Jersey 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, poor credit score, or choosing an older vehicle at your Shrewsbury dealership could mean a higher interest rate. But why is a high interest rate bad? The higher of an interest rate you have, the higher your monthly bill is and the more you spend over your loan’s term. Even a rate one or two percent higher could mean spending hundreds more on interest.
How Can I Get a Lower Car Loan Rate in Shrewsbury, NJ?
With tools like our Interest Rate Estimator, you can get an idea of what your rate might be before you complete an application for a car loan in Shrewsbury, NJ. If you've put in your information and are unhappy with the percentage you see, what can be done to lower it?
The loan term is one aspect you have total control over. Most auto loans in Shrewsbury have terms ranging from 24 months (2 years) to 84 months (7 years) in 12-month intervals. Longer terms will tempt many borrowers because they typically have a lower monthly payment. But longer terms tend to also come with higher interest rates. If you can afford a higher monthly payment, it's better to choose a shorter term. The Auto Payment Calculator shows what your monthly payments might look like depending on different interest rates and terms to help you determine what might work for your budget.
If you have less than ideal credit, increasing your score could help lower your interest rate. Our Guide to Better Credit for Auto Financing can help you understand where your credit score comes from and how you can quickly bring it up. It may take some time and work to better your credit score, but it's worth it for those lower New Jersey auto loan rates.
Taking some time to find the right lender can also help you secure a lower rate. While lenders will consider the same information, you won't receive the same interest rate from each one. You need to shop around and compare offers to find the best auto loan rate in Shrewsbury, NJ — even without the best credit or income. You shouldn't automatically choose the first offer you get because there might be a better one just around the corner. Plus, some lenders are open to 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 Shrewsbury, NJ with myAutoloan
myAutoloan is committed to helping you find the lowest auto loan rates in Shrewsbury, NJ no matter what type of car you're buying or your credit score. We'll present you with up to four loans at once so you can find the best deal. Fill out our simple and secure online application, select the best loan for you, and purchase a new ride from your {City}} dealer. Don't wait to apply and check today's lowest interest rates!