How Are Aberdeen, WA Car Loan Rates Determined?
A handful of factors impact your Washington car loan interest rate, including your credit score, the amount of the loan, your income, the age of the car, the down payment, and your loan's term (the length of the loan). A high debt-to-income ratio, poor credit score, or choosing an older vehicle at your Aberdeen dealership might 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 the term of your loan. Even a rate one or two percent higher could mean spending hundreds more on interest.
How Do I Get a Lower Car Loan Interest in Aberdeen, WA?
Online tools like our Interest Rate Estimator will give you a feel for what your rate might look like before you begin applying for auto loans in Aberdeen, WA. If you've plugged in your information and don't like the percentage you see, what can be done to lower it?
The loan term is one factor you can control. Most auto loans in Aberdeen have terms in 12-month increments between 24 months (2 years) and 84 months (7 years). Many borrowers are drawn in by longer terms because they typically have a lower monthly payment. But longer terms tend to also come with higher interest rates. If your budget allows for a higher monthly payment, it's better to choose a shorter term. The Auto Payment Calculator estimates what your monthly payment could be based on different interest rates and terms to help you figure out what you might be able to afford.
If you have less than ideal credit, increasing 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 which steps you can take today to bring it up quickly. 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 Washington.
Taking some time to find the right lender can also help you achieve 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 Aberdeen, WA — 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. And, 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.
Discover the Best Auto Loan Rates in Aberdeen, WA with myAutoloan
myAutoloan is here to help you get the lowest auto loan rates in Aberdeen, WA no matter what type of car you're buying or your credit score. You can look at up to four loans at once so you can find the perfect loan. Simply complete our secure online application, choose the best loan for you, and visit your Aberdeen dealer to purchase a new car. Apply now to see today's lowest interest rates!