How Are Car Loan Rates in Lexington, SC Calculated?
Many factors contribute to your South Carolina car loan interest rate, including the loan amount, your credit score, your income, the age of the car, the down payment, and your loan's term (the length of the loan). A low credit score, high debt-to-income ratio, or purchasing an older vehicle from your Lexington dealer could lead to a higher interest rate. But why is a high interest rate bad? The higher your interest rate gets, the higher your monthly payment is and the more you spend over the term of your loan. Just one or two percent more could mean spending hundreds more overall.
Is There a Way to Lower My Lexington Car Loan Rate?
With tools like our Interest Rate Estimator, you can get an idea of what your rate might be before you begin applying for auto loans in Lexington, SC. If you've supplied your information and aren't liking the percentage you see, how can you lower?
The loan term is one factor you can change on your own. Most Lexington auto 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 usually mean 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 smart to choose a shorter term. The Auto Payment Calculator estimates what your monthly payment could be based on different interest rates and terms to help you see what you might be able to afford.
If you have less than stellar credit, boosting your score could help lower your interest rate. Use our Guide to Better Credit for Auto Financing to better understand 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.
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. Shopping around and comparing offers will help you find the best auto loan rate in Lexington, SC — even if you don't have the best credit or income. You don't want to choose the first offer you get because a better one could be right around the corner. And, some lenders allow for negotiation, so you can take an offer from one lender to the next to see if they'll beat the interest rate.
Discover the Best Auto Loan Rates in Lexington, SC with myAutoloan
myAutoloan is here to help you get the lowest auto loan rates in Lexington, SC no matter what type of car you're buying or your credit score. You can see up to four loans at once so you can find the right deal. Fill out our secure online application, pick the loan that works best for you, and head to your Lexington dealer to purchase a new ride. Don't wait to apply and check today's lowest interest rates!