What Determines Your Auto Loan Rate in Cleveland, TN?
A handful of factors impact your Tennessee auto loan interest rate, Including your credit score, your income, the amount of the loan, 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 Cleveland dealer could lead to a higher interest rate. But why is a high interest rate bad? The higher your interest rate is, the higher your monthly payment becomes and the more you spend in total. Even a rate one or two percent higher could mean you spend hundreds more on interest.
How Can I Get a Lower Car Loan Rate in Cleveland, TN?
Online tools like our Interest Rate Estimator will give you an idea of what your rate might be before you complete an application for a car loan in Cleveland, TN. If you've supplied your information and aren't liking the percentage you see, how can you lower?
The loan term is one element you have total control over. Most car loans in Cleveland have terms ranging from 24 months (2 years) to 84 months (7 years) in 12-month intervals. Longer terms will tempt many borrowers because the monthly payment is usually lower. But longer terms tend to also 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 shows what your monthly payment might be with different terms and interest rates to help you see what you might be able to afford.
If your credit is far from great, increasing your score could decrease your interest rate. Use our Guide to Better Credit for Auto Financing to better understand what determines your credit score and the steps you can take now to raise it quickly. Your credit score may take some more time and work, but it'll be worth it once you see those lower Tennessee auto loan rates.
Putting effort into finding the right lender can also help you get a lower rate. While lenders will use the same information, you won't see the same interest rate from each one. It's important to shop around and compare offers to find the best car loan rate in Cleveland, TN — even without a high income or credit score. You shouldn't automatically choose the first offer you get because a better one could be right around the corner. Plus, some lenders will negotiate, so you can take an offer from one lender to the next to see if they'll beat the interest rate.
See the Best Auto Loan Rates in Cleveland, TN with myAutoloan
myAutoloan wants to help you find the lowest auto loan rates in Cleveland, TN 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. Fill out our secure online application, choose the loan that looks best to you, and purchase a new ride from your {City}} dealer. Apply now to see today's lowest interest rates!