How Are Car Loan Rates in Charlotte, NC Calculated?
A handful of factors influence your North Carolina 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 Charlotte dealership might lead to a higher interest rate. But what's so bad about a high interest rate? The higher your interest rate gets, the higher your monthly payment is and the more you spend over the life of your loan. Even a rate one or two percent higher could mean spending hundreds more on interest.
How Do I Lower My Auto Loan Rate in Charlotte, NC?
You can use tools like our Interest Rate Estimator to get an idea of what your rate might be before you complete an application for a car loan in Charlotte, NC. 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 factor you can change on your own. Most car loans in Charlotte have terms ranging from 24 months (2 years) to 84 months (7 years) in 12-month intervals. Many borrowers take longer terms because they typically have a lower monthly payment. But longer terms are also likely to come with higher interest rates. If you can handle a higher monthly payment, it's smart 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 you can afford.
If your credit is less than stellar, raising your score could bring your interest rate down. Our Guide to Better Credit for Auto Financing walks you through what determines your credit score and the steps you can take now to raise it quickly. It may take some time and work to better your credit score, but it'll be worth it once you see those lower North Carolina auto loan rates.
Waiting to find the right lender can also help you snag a lower rate. While lenders take the same information into consideration, each one might give you a different interest rate. You need to shop around and compare offers to find the best auto loan rate in Charlotte, NC — even if you don't have the best credit or income. You don't want to choose the first offer you get because a better one might be waiting just around the corner. And, 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.
Discover the Best Auto Loan Rates in Charlotte, NC with myAutoloan
myAutoloan wants to help you find the lowest auto loan rates in Charlotte, NC 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 get the right deal. Fill out our simple and secure online application, choose the loan that looks best to you, and visit your Charlotte dealer to purchase a new car. Apply now to see today's lowest interest rates!