What Determines Your Auto Loan Rate in Seattle, WA?
A handful of factors influence your Washington auto loan rate, including your credit score, the amount of the loan, your income, the down payment, the age of the car, and your loan's term (the length of the loan). A low credit score, high debt-to-income ratio, or purchasing an older vehicle from your Seattle dealer could lead to a higher interest rate. But what's so bad about a high interest rate? The higher your interest rate gets, the higher your monthly payment is and the more you spend over the term of your loan. Just one or two percent more could mean spending hundreds more on interest.
How Do I Get a Lower Car Loan Interest in Seattle, WA?
Online tools like our Interest Rate Estimator will give you an idea of what your rate might be before you begin applying for auto loans in Seattle, WA. If you've put in your information and aren't happy 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 car loans in Seattle have terms in 12-month increments between 24 months (2 years) and 84 months (7 years). Longer terms attract many borrowers because they usually mean 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 shows what your monthly payments might look like with different interest rates and terms to help you decide what might work for your budget.
If your credit is far from great, improving 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 the steps you can take now to raise it quickly. 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 Washington.
Waiting to find the right lender can also help you achieve a lower rate. While lenders will use the same information, you won't receive the same interest rate from each one. Shopping around and comparing offers will help you find the best auto loan rate in Seattle, WA — even if you don't have the highest income or best credit. You don't want to choose the first offer you get because a better one might be waiting just around the corner. And, some lenders allow for negotiation, so you can take your offer from one lender to another to see if they're willing to give an even lower rate.
Find the Best Auto Loan Rates in Seattle, WA with myAutoloan
myAutoloan is dedicated to helping you find the lowest car loan rates in Seattle, WA 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 right deal. Simply complete our secure online application, pick the loan that works best for you, and visit your Seattle dealer to purchase a new car. Apply now to check today's lowest interest rates!