How Are Car Loan Rates in Springfield, OH Calculated?
Several factors affect your Ohio auto 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 high debt-to-income ratio, poor credit score, or choosing an older vehicle at your Springfield dealership could result in a higher interest rate. But why is a high interest rate bad? The higher of an interest rate you have, the higher your monthly payment is and the more you spend over your loan’s term. A difference of just one or two percent could mean spending hundreds more overall.
How Do I Lower My Auto Loan Rate in Springfield, OH?
You can use tools like our Interest Rate Estimator to get a feel for what your rate might look like before you begin applying for auto loans in Springfield, OH. If you've put in your information and aren't liking the percentage you see, what can be done to lower it?
The loan term is one factor you can change on your own. Most auto loans in Springfield have terms in 12-month increments between 24 months (2 years) and 84 months (7 years). Longer terms will tempt many borrowers because they usually have a lower monthly payment. But longer terms tend to also come with higher interest rates. If you can afford a bigger monthly payment, choosing a shorter term is a good move. The Auto Payment Calculator shows what your monthly payments might look like with different terms and interest rates to help you figure out what might work for your budget.
If you have less than stellar credit, boosting your score could help lower your interest rate. Our Guide to Better Credit for Auto Financing walks you through what determines your credit score and which steps you can take to bring it up fast. Your credit score may take some more time and work, but it's worth it to get those lower Ohio car loan rates.
Taking the time to hunt down the right lender can also help you get a lower rate. While lenders will look at 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 Springfield, OH — 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. Don't forget 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 Springfield, OH with myAutoloan
myAutoloan is committed to helping you find the lowest auto loan rates in Springfield, OH 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 right deal. Simply complete our secure online application, choose the best loan for you, and head to your Springfield dealer to purchase a new ride. Don't wait to apply and check today's lowest interest rates!