What Determines Your Auto Loan Rate in Spanish Fork, UT?
A handful of factors affect your Utah car 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 Spanish Fork could lead to a higher interest rate. But why is a high interest rate bad? The higher your interest rate, the higher your monthly payment is and the more you spend over your loan’s term. A difference of just one or two percent could mean you spend hundreds more on interest.
How Do I Get a Lower Car Loan Interest in Spanish Fork, UT?
Using tools like our Interest Rate Estimator can help you get a feel for what your rate might look like before you begin applying for auto loans in Spanish Fork, UT. If you've put in your information and are unhappy with the percentage you see, what steps can you take to lower it?
The loan term is one aspect you have total control over. Most auto loans in Spanish Fork have terms in 12-month intervals ranging from 24 months (2 years) to 84 months (7 years). Longer terms attract many borrowers because the monthly payment is usually lower. But longer terms are also likely to come with higher interest rates. If you can afford a bigger monthly payment, choosing a shorter term is a good move. The Auto Payment Calculator estimates what your monthly payment could be with different terms and interest rates to help you figure out what might work for your budget.
If your credit is less than stellar, raising your score could help lower your interest rate. Our Guide to Better Credit for Auto Financing walks you through what determines your credit score and how you can quickly bring it up. Your credit score will take some effort and time to build, but it's worth it to get those lower Utah car loan rates.
Putting effort into finding the right lender can also help you secure a lower rate. While lenders will use the same information, you won't see the same interest rate from each one. You need to shop around and compare offers to find the best auto loan rate in Spanish Fork, UT — even if you don't have the highest income or best credit. You don't want to go with the first offer you receive because there might be a better one just around the corner. And, some lenders will negotiate, so you can take an offer from one lender to another to see if they're willing to beat the interest rate.
See the Best Auto Loan Rates in Spanish Fork, UT with myAutoloan
myAutoloan wants to help you find the lowest auto loan rates in Spanish Fork, UT no matter your credit score or the type of car you're buying. We'll present you with 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 head to your Spanish Fork dealer to purchase a new ride. Apply today to see the current lowest interest rates!