What Determines Your Auto Loan Rate in American Fork, UT?
Various factors affect your Utah auto loan interest rate, including your credit score, the amount of the loan, your income, the down payment, your loan's term (the length of the loan), and the car's age. A low credit score, high debt-to-income ratio, or purchasing an older vehicle from your American Fork dealer might lead to a higher interest rate. But why worry about a high interest rate? The higher of an interest rate you have, the higher your monthly payment is 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.
How Do I Lower My Auto Loan Rate in American Fork, UT?
Online tools like our Interest Rate Estimator will give you an idea of what your rate might look like before you begin applying for auto loans in American Fork, UT. If you've filled out your information and are unhappy with the percentage you see, what can be done to lower it?
The loan term is one thing you have a lot of control over. Most American Fork car loans have terms in 12-month intervals ranging from 24 months (2 years) to 84 months (7 years). Longer terms will tempt many borrowers because the monthly payment is usually lower. However, a longer term also tends to come with a higher interest rate. If you can handle a higher monthly payment, choosing a shorter term is a good move. 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 your credit is less than stellar, raising your score could 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 all worth it for getting those lower auto loan rates in Utah.
Taking some time to find the right lender can also help you get a lower rate. While lenders will use the same information, you won't receive the same interest rate from each one. You need to compare offers and shop around for the best auto loan rate in American Fork, UT — even if you don't have the best credit or income. You shouldn't automatically choose the first offer you get because a better one could be right around the corner. Don't forget 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.
Use myAutoloan to Check the Best Auto Loan Rates in American Fork, UT
myAutoloan is here to help you get the lowest auto loan rates in American Fork, UT 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 best deal. Fill out our simple and secure online application, select the best loan for you, and head down to a dealer in American Fork to purchase a new ride. Apply now to check today's lowest interest rates!