How Are Roanoke, VA Car Loan Rates Determined?
Various factors contribute to your Virginia auto loan interest 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, low credit score, or purchasing an older car from a dealer in Roanoke could lead to a higher interest rate. But is a high interest rate so bad? The higher of an interest rate you have, 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.
Is There a Way to Lower My Roanoke Car Loan Rate?
Using tools like our Interest Rate Estimator can help you get an idea of what your rate might look like before you complete an application for a car loan in Roanoke, VA. If you've supplied your information and don't like the percentage you see, what can be done to lower it?
The loan term is one aspect you have a lot of control over. Most Roanoke car loans are available with terms in 12-month increments between 2 years (24 months) and 7 years (84 months). Longer terms will tempt many borrowers because they typically have a lower monthly payment. However, longer terms also tend to come with higher interest rates. If your budget allows for 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 figure out what might be affordable.
If your credit is far from great, boosting your score could bring your interest rate down. Use our Guide to Better Credit for Auto Financing to better understand what determines your credit score and which steps you can take today to bring it up quickly. Your credit score will take some effort and time to build, but it'll be worth it once you see those lower Virginia auto loan rates.
Taking some time to find the right lender can also help you get a lower rate. While lenders take the same information into consideration, each one might give you a different interest rate. You need to shop around and compare offers to find the best auto loan rate in Roanoke, VA — 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. Plus, some lenders allow for negotiation, 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 Roanoke, VA with myAutoloan
myAutoloan is dedicated to helping you find the lowest car loan rates in Roanoke, VA regardless of what type of vehicle you're buying or your credit score. You can look at up to four loans at once so you can get the right deal. Simply complete our secure online application, choose the best loan for you, and head down to a dealer in Roanoke to purchase a new ride. Don't wait to apply and check today's lowest interest rates!