What Determines Your Auto Loan Rate in Portland, OR?
A handful of factors contribute to your Oregon auto loan rate, including your income, your credits core, the loan amount, the car's age, the down payment, and the length of the loan (your loan's term). A low credit score, high debt-to-income ratio, or purchasing an older vehicle from your Portland dealer might lead to a higher interest rate. But what's so bad about a high interest rate? The higher your interest rate gets, the more you pay each month and the more you spend over the term of your loan. A difference of just one or two percent could mean spending hundreds more on interest.
How Do I Lower My Auto Loan Rate in Portland, OR?
With tools like our Interest Rate Estimator, you can get an idea of what your rate might look like before having to apply for a car loan in Portland, OR. 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 factor you have total control over. Most auto loans in Portland are available with terms in 12-month increments between 2 years (24 months) and 7 years (84 months). Many borrowers take longer terms 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 based on different interest rates and terms to help you see what you can afford.
If you have less than ideal credit, improving your score could lower your interest rate. Our Guide to Better Credit for Auto Financing will help you understand what goes into a credit score and which steps you can take today to bring it up quickly. Your credit score will take some effort and time to build, but it's worth it for those lower Oregon auto loan rates.
Taking some time to find the right lender can also help you get a lower rate. While lenders take the same information into consideration, each one might give you a different interest rate. It's important to shop around and compare offers to find the best car loan rate in Portland, OR — even without the best credit or income. You shouldn't go with the first offer you receive because there might be a better one just around the corner. Plus, some lenders leave room for negotiation, so you can take an offer from one lender to the next to see if they'll beat the interest rate.
Use myAutoloan to Check the Best Auto Loan Rates in Portland, OR
myAutoloan is committed to helping you find the lowest auto loan rates in Portland, OR no matter what type of car you're buying or your credit score. We'll show you up to four loans at once so you can get the right deal. Fill out our secure online application, choose the loan that looks best to you, and purchase a new ride from your {City}} dealer. Apply now to check today's lowest interest rates!