If you're in the market for a new car, you're probably wondering how to get the best auto loan rates! After all, a lower interest rate can save you thousands of dollars over the life of your loan. Read more below to find out a few tips and tricks to help you snag the lowest auto loan rates possible!
Your credit score is one of the most important factors that lenders consider when determining your auto loan interest rate. That's why it's a good idea to check your credit score before you start shopping for a new car. If your score is on the lower end, you may want to take some steps to improve it before applying for a loan.
Once you've checked your credit score, it's time to start shopping around for the best auto loan rates. There are a few ways to do this. First, you can use an online tool like Credible to compare rates from multiple lenders at once. This can give you a good idea of what kinds of rates you qualify for so that you can Negotiate from a position of strength.
Another way to ensure that you get the best auto loan rates is to get pre-approved for financing before you head to the dealership. When you get pre-approved, lenders will conduct a hard inquiry on your credit report. This can temporarily ding your score by a few points. But it also allows you to shop around for the best rates without harming your credit score further. All in all, getting pre-approved gives you major negotiating power at dealerships and can help ensure that you pay as little interest as possible on your vehicle loan.
If you're looking to finance a new car, follow these tips to ensure that you get the best auto loan rates possible. First, check your credit score and take steps to improve it if necessary. Then, compare rates from multiple lenders using an online tool like Credible. Finally, getting pre-approved for your loan before heading to the dealership gives negotiating power and can help keep interest payments low.