HOW TO GET A CERTAIN APR FOR YOUR NEXT LOAN
As we mentioned before, your credit history and length of loan can determine what your APR will be. Therefore, there are certain tips you could follow to get a better rate on your next car loan.
First, you could look up your credit history to see what your score is. If you want to raise that number, you’ll want to do things like pay all your bills on time and keep balances on credit cards as low as possible.
Over time, you could start to see an improvement in your credit score, which would positively affect what APR you’d get on a new loan.
Then, when you’re applying for an auto loan, you’ll want to make sure to keep the length as short as possible. Car loans could run anywhere from 36 months to 84 months. The longer your loan is, the lower your monthly payments will be. However, that doesn’t lower the interest rate, which means you’ll actually be paying more for interest in the long run.
By keeping the loan shorter, you’ll have a better chance of getting a lower interest rate. However, the monthly payments may be slightly larger, so just make sure that this option works with your budget.
APPLY FOR AN AUTO LOAN TODAY
Now that you know what the APR on a car loan is, it’s time to apply for one! Fill out the FINANCE APPLICATION
on our website to get pre-approved, and a member of the Ira Lexus of Danvers team will get back to you. You’ll then be driving around North Andover, Peabody, or Danvers in a NEW LEXUS
before you know it!