How Are Car Loan Rates in Plymouth, WI Calculated?
Several factors contribute to your Wisconsin car loan rate, including your income, your credits core, the loan amount, 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 Plymouth might lead to a higher interest rate. But why is a high interest rate bad? The higher your interest rate is, the higher your monthly payment becomes and the more you spend over the term of your loan. A difference of one or two percent might not seem like much, but it could mean you spend hundreds more on interest.
Is There a Way to Lower My Plymouth Car Loan Rate?
With tools like our Interest Rate Estimator, you can get a feel for what your rate might look like before you start applying for auto loans in Plymouth, WI. If you've put in your information and aren't happy with the percentage you see, how can you lower?
The loan term is one element you have a lot of control over. Most car loans in Plymouth have terms ranging from 24 months (2 years) to 84 months (7 years) in 12-month intervals. Longer terms attract many borrowers because they usually have a lower monthly payment. However, a longer term also tends to come with a higher interest rate. If your budget allows for a higher monthly payment, choosing a shorter term is a good move. The Auto Payment Calculator shows what your monthly payment might be with different terms and interest rates to help you determine what you can 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 the steps you can take now to raise it quickly. It may take some effort and time to increase your credit score, but it'll be worth it once you see those lower Wisconsin auto loan rates.
Taking some time to find the right lender can also help you secure a lower rate. While lenders will look at 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 Plymouth, WI — even if you don't have the highest income or best credit. You shouldn't automatically choose the first offer you get because there might be a better one just around the corner. Keep in mind 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 Plymouth, WI with myAutoloan
myAutoloan is here to help you get the lowest auto loan rates in Plymouth, WI 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. Complete our secure online application, choose the loan that looks best to you, and purchase a new ride from your {City}} dealer. Apply now to check today's lowest interest rates!