How Are Car Loan Rates in Cleveland, OH Calculated?
Many factors impact your Ohio car loan interest rate, Including your credit score, your income, the amount of the loan, the age of the car, the down payment, and your loan's term (the length of the loan). A high debt-to-income ratio, poor credit score, or choosing an older vehicle at your Cleveland dealership could result in 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 the life of your loan. A difference of one or two percent might not seem like much, but it could mean you spend hundreds more on interest.
Can I Lower My Car Loan Rate in Cleveland, OH?
Online tools like our Interest Rate Estimator will give you a feel for what your rate could be before having to apply for a car loan in Cleveland, OH. If you've put in your information and aren't liking the percentage you see, how can you lower?
The loan term is one element you can change on your own. Most Cleveland auto loans have terms ranging from 24 months (2 years) to 84 months (7 years) in 12-month intervals. Many borrowers are drawn in by longer terms because they typically have a lower monthly payment. However, longer terms also tend to come with higher interest rates. If your budget allows for a higher monthly payment, choosing a shorter term is a good move. The Auto Payment Calculator shows what your monthly payments might look like with different interest rates and terms to help you see what you might be able to afford.
If your credit is far from great, boosting 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. It may take some effort and time to increase your credit score, but it's worth it for those lower Ohio auto loan rates.
Putting effort into finding the right lender can also help you get 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 compare offers and shop around for the best auto loan rate in Cleveland, OH — even if you don't have the highest income or best credit. You shouldn't automatically choose the first offer you get because a better one could be right around the corner. Plus, some lenders will negotiate, 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 Cleveland, OH with myAutoloan
myAutoloan is dedicated to helping you find the lowest car loan rates in Cleveland, OH no matter your credit score or the type of car you're buying. You can look at up to four loans at once so you can find the best deal. Complete our secure online application, pick the loan that works best for you, and head down to a dealer in Cleveland to purchase a new ride. Apply now to see today's lowest interest rates!