What Determines Your Auto Loan Rate in Lancaster, SC?
Several factors influence your South Carolina car loan interest rate, Including your credit score, your income, the amount of the loan, 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 Lancaster dealership could lead to a higher interest rate. But what's so bad about a high interest rate? The higher of an interest rate you have, the higher your monthly payment is and the more you spend in total. Just one or two percent more could mean spending hundreds more on interest.
Is There a Way to Lower My Lancaster Car Loan Rate?
You can use tools like our Interest Rate Estimator to get an idea of what your rate might look like before you complete an application for a car loan in Lancaster, SC. If you've plugged in your information and aren't happy with the percentage you see, what can be done to lower it?
The loan term is one aspect you have a lot of control over. Most Lancaster auto loans have terms in 12-month increments between 24 months (2 years) and 84 months (7 years). Many borrowers are drawn in by longer terms because they usually mean a lower monthly payment. But longer terms are also likely to come with higher interest rates. If you can handle a higher monthly payment, it's better to choose a shorter term. The Auto Payment Calculator shows what your monthly payment might be depending on different interest rates and terms to help you see what might be affordable.
If your credit is less than stellar, improving 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. It may take some effort and time to increase your credit score, but it's worth it to get those lower South Carolina car loan rates.
Waiting to find the right lender can also help you secure a lower rate. While lenders take the same information into consideration, you won't see the same interest rate from each one. You need to shop around and compare offers to find the best auto loan rate in Lancaster, SC — even if you don't have 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. Don't forget some lenders leave room for negotiation, so you can take your offer from one lender to another to see if they're willing to give an even lower rate.
Discover the Best Auto Loan Rates in Lancaster, SC with myAutoloan
myAutoloan is committed to helping you find the lowest auto loan rates in Lancaster, 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 find the best deal. Simply complete our secure online application, choose the best loan for you, and visit your Lancaster dealer to purchase a new car. Apply now to check today's lowest interest rates!