How to Find the Lowest Interest Rate Auto Loan
Auto loans come in many forms, but consumers with good credit usually pay the lowest interest rates. Bank of America offers auto loans with an APR as low as 2.39%. This is one of the lowest rates available on the Internet. It is important to note that these loans are only available to new car buyers with excellent credit. Other banks may not advertise their lowest auto loan rates, so be sure to shop around. Listed below are some of the most popular types of auto loans.
The easiest way to find the lowest interest rate is to shop around. Apply for several pre-approval offers from different lenders. Make sure you choose the ones that require only a soft credit check. Once you’ve found several auto loan offers that suit you, make the application process easy and fast. By shopping around, you’ll get the best interest rate possible. However, be aware that auto loan rates change frequently, so the information is only current as of the time of publication.
Another factor that impacts interest rates is the loan term. Most banks offer payment plans of 24 to 72 months. Shorter term loans carry lower APRs than long-term ones. Longer-term auto loans are increasingly popular, but their higher APRs may cause excessive interest costs and cause borrowers to end up owing more than the car is worth. To avoid these risks, be sure to shop around for the auto loan with the lowest interest rate.
Bank of America is the world’s largest bank and offers excellent rates. If you’re already a member of Bank of America, you can qualify for special perks. Bank of America’s Preferred Rewards program offers up to 0.50% off APR for customers with qualifying combined balances. This rate is also available to those with other types of accounts, including Merrill investment accounts. These offers are good for new car buyers, but don’t make the mistake of applying for a used car loan with Bank of America without checking your financial health first.
LightStream offers auto refinance loans at low rates, but only to those with excellent credit. As long as you have a good credit history and are at least four hundred percent employed, you should be able to secure a loan through this company. LightStream does not publish their exact credit requirements, but you can qualify if you have at least four thousand dollars in annual income and no active bankruptcies. Bank of America is another popular financial institution with many auto loan options.
LightStream offers car loans that start at 2.49% for new and used car loans. If you opt for autopay, you’ll get a 0.5% discount. LightStream’s Rate Beat program will match any competitor’s lowest rate by 0.1%. That’s an incredible savings compared to other types of loans. There are many auto loan companies to choose from, so make sure to compare them and find the best one for your needs.
