4 Tips for Managing High-Interest Auto Loans
The annual percentage rate (APR) averaged about 6.4% for new financed vehicles and 9.5% for used vehicles in March 2019.
The Federal Reserve raised interest rates four times in 2018.
What is considered a high interest rate on a car?
While interest rates do vary from lender to lender, the average car loan interest rate currently can be anywhere from as low as 0% to as high as 5%. Depending on the length of your loan, credit score, the car you are financing, and other miscellaneous factors, your rate may be different.
What is a good interest rate on a car loan 2019?
Average Auto Loan Interest Rates: 2019 Facts & Figures. The national average for US auto loan interest rates is 4.21% on 60 month loans.
What is a good APR on a car loan?
Among all financing sources, the average APR on a new car loan for someone with good credit is right around 3% for new cars and just over 3% for used cars. The picture is brightest for people with credit scores above 720.
How can I lower my car interest rate?
How to lower APR on a car loan
- Check your credit reports and build credit.
- Apply for refinancing.
- Apply with a co-borrower or add a cosigner.
- Shop around.
- Think about shorter loan terms.
- Negotiate APR and interest rate.