How Are Lititz, PA Car Loan Rates Determined?
A handful of factors affect your Pennsylvania auto loan interest rate, including your income, your credits core, the loan amount, the down payment, your loan's term (the length of the loan), and the car's age. A low credit score, high debt-to-income ratio, or purchasing an older vehicle from your Lititz dealer could result in a higher interest rate. But why is a high interest rate bad? The higher your interest rate gets, the higher your monthly bill is and the more you spend over the life of your loan. A difference of just one or two percent could mean you spend hundreds more on interest.
Can I Lower My Car Loan Rate in Lititz, PA?
Using tools like our Interest Rate Estimator can help you get an idea of what your rate might be before you begin applying for auto loans in Lititz, PA. If you've plugged in your information and aren't happy with the percentage you see, how can you lower?
The loan term is one thing you can control. Most auto loans in Lititz 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 typically have a lower monthly payment. However, longer terms also tend to come with higher interest rates. If you can handle a higher monthly payment, it's wise to choose a shorter term. The Auto Payment Calculator shows what your monthly payments might look like with different interest rates and terms to help you decide what you can afford.
If you have less than ideal credit, increasing your score could decrease 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 today to bring it up quickly. It may take some effort and time to increase your credit score, but it's worth it for those lower Pennsylvania auto loan rates.
Taking some time to find the right lender can also help you get a lower rate. While lenders will use the same information, 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 Lititz, PA — even without the best credit or income. You shouldn't go with the first offer you receive because there could be a better one right 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.
Use myAutoloan to Check the Best Auto Loan Rates in Lititz, PA
myAutoloan is here to help you get the lowest auto loan rates in Lititz, PA no matter what type of car you're buying or your credit score. You can look at up to four loans at once so you can get the right deal. Simply complete our secure online application, choose the loan that looks best to you, and head to your Lititz dealer to purchase a new ride. Apply now to check today's lowest interest rates!