How Are Beaver Dam, WI Car Loan Rates Determined?
Several factors impact your Wisconsin auto loan interest rate, Including your credit score, your income, the amount of the loan, 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 Beaver Dam could result in a higher interest rate. But why is a high interest rate bad? The higher your interest rate, the more you pay each month and the more you spend over your loan’s term. A difference of one or two percent might not seem like much, but it could mean spending hundreds more overall.
Is There a Way to Lower My Beaver Dam Car Loan Rate?
You can use tools like our Interest Rate Estimator to get a feel for what your rate might look like before you complete an application for a car loan in Beaver Dam, WI. If you've filled out your information and aren't liking the percentage you see, how can you lower?
The loan term is one aspect you can change on your own. Most Beaver Dam auto 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 they usually mean a lower monthly payment. However, longer terms also tend to come with higher interest rates. If you can afford a higher monthly payment, choosing a shorter term is a good move. The Auto Payment Calculator estimates what your monthly payment could be depending on different interest rates and terms to help you see what you might be able to afford.
If you have less than stellar credit, boosting your score could bring your interest rate down. Our Guide to Better Credit for Auto Financing can help you understand where your credit score comes from and which steps you can take today to bring it up quickly. It may take some time and work to better your credit score, but it'll be worth it once you see those lower Wisconsin auto loan rates.
Taking the time to hunt down the right lender can also help you get a lower rate. While lenders will use the same information, you won't see the same interest rate from each one. Shopping around and comparing offers will help you find the best auto loan rate in Beaver Dam, WI — even without a high income or credit score. You shouldn't go with the first offer you receive because a better one might be waiting just around the corner. Plus, 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.
See the Best Auto Loan Rates in Beaver Dam, WI with myAutoloan
myAutoloan is dedicated to helping you find the lowest car loan rates in Beaver Dam, WI 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 get the right deal. Fill out our secure online application, choose the loan that looks best to you, and visit your Beaver Dam dealer to purchase a new car. Apply now to check today's lowest interest rates!