What Determines Your Auto Loan Rate in Arlington, TX?
Many factors affect your Texas auto loan rate, including the loan amount, your credit score, your income, the car's age, the down payment, and the length of the loan (your loan's term). A high debt-to-income ratio, poor credit score, or choosing an older vehicle at your Arlington dealership might lead to a higher interest rate. But what's so bad about a high interest rate? The higher your interest rate, the higher your monthly bill is and the more you spend over your loan’s term. A difference of just one or two percent could mean spending hundreds more overall.
Can I Lower My Car Loan Rate in Arlington, TX?
With tools like our Interest Rate Estimator, you can get a feel for what your rate could be before you start applying for auto loans in Arlington, TX. If you've plugged in your information and aren't liking the percentage you see, what steps can you take to lower it?
The loan term is one thing you have a lot of control over. Most Arlington car loans have terms in 12-month increments between 24 months (2 years) and 84 months (7 years). Longer terms will tempt many borrowers because they usually have a lower monthly payment. But longer terms tend to also come with higher interest rates. If you can afford a higher monthly payment, it's smart to choose a shorter term. The Auto Payment Calculator estimates what your monthly payment could be with different interest rates and terms to help you decide what you can afford.
If your credit is less than stellar, improving your score could help lower your interest rate. Our Guide to Better Credit for Auto Financing will help you understand what goes into a credit score and which steps you can take to bring it up fast. Your credit score may take some more time and work, but it's worth it to get those lower Texas car loan rates.
Putting effort into finding the right lender can also help you secure a lower rate. While lenders take the same information into consideration, you'll likely receive a different interest rate from each one. Shopping around and comparing offers will help you find the best auto loan rate in Arlington, TX — even without the best credit or income. You don't want to choose the first offer you get because a better one might be waiting just around the corner. Plus, some lenders are open to negotiation, so you can take an offer from one lender to another to see if they're willing to beat the interest rate.
Discover the Best Auto Loan Rates in Arlington, TX with myAutoloan
myAutoloan is here to help you get the lowest auto loan rates in Arlington, TX 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 perfect loan. Complete our secure online application, choose the best loan for you, and head down to a dealer in Arlington to purchase a new ride. Don't wait to apply and check today's lowest interest rates!