How Are Lake City, SC Auto Loan Rates Determined?
Several factors influence your South Carolina auto loan rate, including your income, your credits core, the loan amount, 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 Lake City dealership could mean a higher interest rate. But is a high interest rate so bad? The higher your interest rate, the more you pay each month 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.
Is There a Way to Lower My Lake City Car Loan Rate?
You can use tools like our Interest Rate Estimator to get an idea of what your rate might look like before having to apply for a car loan in Lake City, SC. 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 factor you have a lot of control over. Most Lake City car loans have terms ranging from 24 months (2 years) to 84 months (7 years) in 12-month intervals. Longer terms will tempt many borrowers because they typically have a lower monthly payment. However, a longer term also tends to come with a higher interest rate. If you can handle a higher monthly payment, it's better to choose a shorter term. The Auto Payment Calculator estimates what your monthly payment could be with different terms and interest rates to help you decide what you might be able to afford.
If your credit is far from great, increasing 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 how you can quickly bring it up. Your credit score will take some effort and time to build, but it's all worth it for getting those lower auto loan rates in South Carolina.
Putting effort into finding the right lender can also help you get a lower rate. While lenders will consider 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 Lake City, SC — even if you don't have the highest income or best credit. You shouldn't automatically choose the first offer you get because there could be a better one right around the corner. Keep in mind 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.
See the Best Auto Loan Rates in Lake City, SC with myAutoloan
myAutoloan is dedicated to helping you find the lowest car loan rates in Lake City, SC 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 get the right deal. Complete our secure online application, pick the loan that works best for you, and head to your Lake City dealer to purchase a new ride. Apply today to see the current lowest interest rates!