How to Get Lower Interest Rate on a Car Loan

When it’s time to buy a new Nissan or a quality used car, you might wonder about getting a lower interest rate on auto loans. Getting a lower interest rate on auto loans means your monthly payments will be lower and you’ll spend less on your car in the long run. If you’ve ever wondered, “How can I lower my car loan rate?” or been curious about how to get a lower interest rate on a car loan, let the finance team at Nissan of Florence answer your questions. Can you lower interest rates on a car loan? Sure! We’d love to help you get the best loan rate available to you in the Darlington and Dillon areas! 

Can You Lower Interest Rates on a Car Loan? 

1. Check your credit score. Knowing your credit score can help you decide if it needs to be cleaned up a bit more before you apply for a car loan.
2. Clean up your score. Making sure your credit score is in a good place before applying for a car loan can help in getting you a lower interest rate.
3. Check for Refinance Loans. Make sure you know the range of interest rates that are average for your credit score and loan amount. Be sure to compare rates and payment terms from multiple places and ask your current lender for a lower rate. If denied, let them know you’ve been offered lower rates elsewhere and ask if they’re willing to match or beat the lowest offer.
4. Enlist a cosigner. Having someone cosign for your loan might get you a lower interest rate on your loan, especially if you have bad credit.
5. Consider in-house financing. In-house financing means you’ll be making payments to the dealership instead of the bank. If you make your monthly payments on time, consistently, then you’ll also be able to get a higher credit score.

What is a Good Interest Rate?

The interest rate you receive depends on your credit score as well as the size of the loan. And while they can be negotiated, on average, drivers can find an interest rate ranging from 3.2% to 12.9%. Based off of credit scores, here are estimated interest rates:

• 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 a Great Rate on Your Auto Loan with Nissan of Florence! 

“How can I lower my car loan interest rate?” You’ll start when you apply for financing at Nissan of Florence. Not only can we tell you how to get lower interest rates on a car loan in Sumter, but we can help you make it happen!  Our finance team will do the work of getting your application to multiple lenders so you can find the best auto loan rate and terms for your budget. When you’re getting a lower interest rate on auto loans with Nissan of Florence, you and your budget will be satisfied for the long haul!