How Are Springfield, PA Car Loan Rates Determined?
Several factors contribute to your Pennsylvania car 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 high debt-to-income ratio, poor credit score, or choosing an older vehicle at your Springfield dealership could lead to a higher interest rate. But what's so bad about a high interest rate? The higher your interest rate is, the more you pay each month and the more you spend over the life of your loan. A difference of just one or two percent could mean spending hundreds more overall.
How Do I Lower My Auto Loan Rate in Springfield, PA?
Online tools like our Interest Rate Estimator will give you a feel for what your rate might look like before you complete an application for a car loan in Springfield, PA. If you've plugged in your information and don't like the percentage you see, what can you do to lower it?
The loan term is one element you can change on your own. Most car loans in Springfield are available with terms in 12-month increments between 2 years (24 months) and 7 years (84 months). Longer terms attract many borrowers because they usually have a lower monthly payment. But longer terms tend to also come with higher interest rates. If you can handle a higher monthly payment, choosing a shorter term is a good move. The Auto Payment Calculator shows what your monthly payments might look like depending on different interest rates and terms to help you figure out what you might be able to afford.
If you have less than stellar credit, boosting your score could lower your interest rate. 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 Pennsylvania auto loan rates.
Putting effort into finding the right lender can also help you achieve a lower rate. While lenders will use the same information, you'll likely receive a different interest rate from each one. You need to compare offers and shop around for the best auto loan rate in Springfield, PA — even without a high income or credit score. You don't want to choose the first offer you get because a better one might be waiting just around the corner. Keep in mind some lenders leave room for negotiation, so you can take an offer from one lender to another to see if they're willing to beat the interest rate.
See the Best Auto Loan Rates in Springfield, PA with myAutoloan
myAutoloan is here to help you get the lowest auto loan rates in Springfield, 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 find the right deal. Complete our secure online application, pick the loan that works best for you, and visit your Springfield dealer to purchase a new car. Apply now to see today's lowest interest rates!