How Are Beaumont, TX Car Loan Rates Determined?
Several factors impact your Texas auto loan interest rate, Including your credit score, your income, the amount of the loan, the down payment, the age of the car, and your loan's term (the length of the loan). A high debt-to-income ratio, low credit score, or purchasing an older car from a dealer in Beaumont might lead to a higher interest rate. But why is a high interest rate bad? The higher your interest rate is, the more you pay each month and the more you spend over the term of your loan. A difference of just one or two percent could mean spending hundreds more on interest.
Can I Lower My Car Loan Rate in Beaumont, TX?
With tools like our Interest Rate Estimator, you can get an idea of what your rate might be before you start applying for auto loans in Beaumont, TX. If you've put in your information and don't like the percentage you see, how can you lower?
The loan term is one element you can change on your own. Most Beaumont auto loans have terms in 12-month increments between 24 months (2 years) and 84 months (7 years). Many borrowers take longer terms because they usually mean a lower monthly payment. But longer terms tend to also come with higher interest rates. If you can afford a bigger monthly payment, it's better to choose a shorter term. The Auto Payment Calculator shows what your monthly payment might be with different interest rates and terms to help you determine what you might be able to afford.
If you have less than stellar credit, increasing your score could 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. 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 Texas.
Taking the time to hunt down the right lender can also help you achieve 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 Beaumont, TX — even without the best credit or income. You shouldn't automatically choose the first offer you get because a better one might be waiting just around the corner. Don't forget some lenders will negotiate, so you can take an offer from one lender to the other to see if they can beat the interest rate.
Use myAutoloan to Check the Best Auto Loan Rates in Beaumont, TX
myAutoloan wants to help you find the lowest auto loan rates in Beaumont, TX regardless of your credit score and the type of car you're buying. We'll show you up to four loans at once so you can find the best deal. Simply complete our secure online application, select the best loan for you, and visit your Beaumont dealer to purchase a new car. Apply today to see the current lowest interest rates!