How Can I Lower My Car Loan Interest Rate?

Whether Chicago drivers are wondering, “Can you lower interest rate on a car loan?” or “How can I lower my car loan interest rate prior to negotiation?”, Sunrise Chevrolet is here to help. Read on about getting a lower interest rate on auto loans. Then get in touch with our finance department in Glendale Heights to take the next step.

How to Lower Your Car Loan Interest Rate

1. Check your credit score. The first thing Carol Stream drivers will need to do when getting a lower interest rate on auto loans is to check their credit score on a site like Credit Karma or Experian.
2. Clean up your score. If your score is lacking, the best method for how to get a lower interest rate on a car loan is to hold off on the loan and work on improving your credit score where you can.
3. Check for Refinance Loans. Inquire after multiple lenders to see who’s offering the best rates. Leverage those quotes against one another to get the best deal. If you already have a car loan, see if another lender is willing to pay off your pre-existing loan and offer you another one with better terms.
4. Enlist a cosigner. If you have a family member with a better credit score who’s willing to co-sign, this can drastically improve your interest rate.

What is a Good Interest Rate?

Interest rate is affected by the size of your loan, the number of months you’ll take to pay off your loan, and your credit score. Most drivers will have an interest rate of between 3.2% to 12.9%. Here are some average rates for each bracket of credit score:

• 800 – 740: 3.2% interest rate (on average)
• 739 – 680: 4.5% interest rate (on average)
• 680 and below: 6.5% – 12.9% (on average)

Get Help Getting a Lower Interest Rate on Auto Loans

Whether Addison drivers have further questions about how to get a lower interest rate on a car loan or whether you can lower your interest rate on a current car loan, give Sunrise Chevrolet a call at (630) 348-8312. We’ll walk you through the steps to getting the best loan that you can get. If you have other questions related to the car buying journey, be sure to check out our car buying tips for more helpful reads about how to calculate interest rate and more!