Car loan interest rate

Buying a car is already tough enough, so it’s tempting to choose the first loan option put in front of you. But many people don’t realize that when you finance a car purchase, you’re actually buying two separate things: the car itself, and the car loan. By choosing the right lender, you can set yourself up for a less stressful experience, save money, and even pay off your car more quickly. We’ve rounded up the best auto loan rates that can help you do just that, based on our review of 25 leading auto lenders. Lenders were examined and rated on their APRs, loan types, loan terms, vehicle and borrower requirements, and other factors. We also conducted a survey of 1,016 auto loan borrowers, collecting data on lender sentiment and the loan process. PenFed is our top pick overall because it offers all of the loan types you’d ever hope to use, at excellent rates: loans for new or used cars, refinances, cash-out refinances, and even lease buyout loans. You can even use a used car loan to buy a car from a private seller, if you wish. PenFed will mail you a check if you’re approved for any of its loans. That can take a few days, but if you’re OK with using the TrueCar car-buying service, PenFed has a pretty good relationship discount with it. Your loan could be funded the same day you’re approved, if you use this service. AUTOPAY is light on details, and that’s maybe intentional in order to get you to bite. If you have excellent borrower qualifications, AUTOPAY certainly has the po...

Payment date Principal Interest Monthly payment Principal balance Jun 2023 $301.80 $66.67 $368.47 $15,698.20 Jul 2023 $303.06 $65.41 $368.47 $15,395.14 Aug 2023 $304.32 $64.15 $368.47 $15,090.82 Sep 2023 $305.59 $62.88 $368.47 $14,785.23 Oct 2023 $306.86 $61.61 $368.47 $14,478.36 Nov 2023 $308.14 $60.33 $368.47 $14,170.22 Dec 2023 $309.43 $59.04 $368.47 $13,860.79 Jan 2024 $310.72 $57.75 $368.47 $13,550.08 Feb 2024 $312.01 $56.46 $368.47 $13,238.07 Mar 2024 $313.31 $55.16 $368.47 $12,924.76 Apr 2024 $314.62 $53.85 $368.47 $12,610.14 May 2024 $315.93 $52.54 $368.47 $12,294.22 Jun 2024 $317.24 $51.23 $368.47 $11,976.97 Jul 2024 $318.56 $49.90 $368.47 $11,658.41 Aug 2024 $319.89 $48.58 $368.47 $11,338.52 Sep 2024 $321.22 $47.24 $368.47 $11,017.29 Oct 2024 $322.56 $45.91 $368.47 $10,694.73 Nov 2024 $323.91 $44.56 $368.47 $10,370.82 Dec 2024 $325.26 $43.21 $368.47 $10,045.56 Jan 2025 $326.61 $41.86 $368.47 $9,718.95 Feb 2025 $327.97 $40.50 $368.47 $9,390.98 Mar 2025 $329.34 $39.13 $368.47 $9,061.64 Apr 2025 $330.71 $37.76 $368.47 $8,730.93 May 2025 $332.09 $36.38 $368.47 $8,398.84 Jun 2025 $333.47 $35.00 $368.47 $8,065.36 Jul 2025 $334.86 $33.61 $368.47 $7,730.50 Aug 2025 $336.26 $32.21 $368.47 $7,394.24 Sep 2025 $337.66 $30.81 $368.47 $7,056.58 Oct 2025 $339.07 $29.40 $368.47 $6,717.52 Nov 2025 $340.48 $27.99 $368.47 $6,377.04 Dec 2025 $341.90 $26.57 $368.47 $6,035.14 Jan 2026 $343.32 $25.15 $368.47 $5,691.82 Feb 2026 $344.75 $23.72 $368.47 $5,347.07 Mar 2026 $346.19 $22.28 $3...

Julie Myhre-Nunes is an assistant assigning editor at NerdWallet. She has been working in the personal finance space for more than 10 years. Before joining NerdWallet, Julie oversaw editorial teams at NextAdvisor, Red Ventures and Quote.com. Her personal finance insight has been featured on Forbes, The Boston Globe and CNBC throughout the years. Julie’s writing has been published by USA Today, Business Insider and Wired Insights, among others. Email: [emailprotected] . When you’re getting ready to finance a new or used car, knowing the average car loan interest rate received by other recent car buyers is helpful. Having this information, especially for borrowers with a credit score similar to yours, gives you an idea of what rate to expect and a benchmark for comparing loan offers. The auto loan interest rate you receive is based on several factors — such as your income, credit history and credit score . Your credit score is one of the biggest factors in determining the rate you’ll get, because lenders use it to gauge how likely you are to repay the loan. Generally speaking, the higher your credit score , the lower your car loan interest rate is likely to be.

A loan’s interest rate is a major factor in your overall loan cost—which is why researching and shopping around to find the best auto loan rate is a good idea when you’re buying a car. We’ve compiled a list of seven lenders offering the best auto loan rates for new and used cars. The lenders were evaluated on factors including the minimum annual percentage rates (APRs) of their loans, eligibility requirements and customer reviews. The exact loan terms and pricing you receive will depend on your personal financial profile. The ranking is based on the starting APRs—excluding rate discounts for automatic payments and other items—and minimum loan requirements of each lender. Details are accurate as of March 10, 2023. Consumers Credit Union offers terms from zero to 84 months to help borrowers who need to finance a short term auto purchase. Consumers’ loan amounts start at $7,500 with no maximum cap—you can borrow up to any amount you qualify for. If you qualify for a Consumers Credit Union auto loan, you can finance up to 100% of your purchase. You can also apply for a loan and sign documents online, over the phone or by visiting a local branch. Consumers auto loans are available for new or used vehicles, RVs, motorcycles and boats. Company Company - Logo Forbes Advisor Rating Forbes Advisor Rating - Image Minimum rate Loan amount Minimum credit score Learn More CTA text Learn more CTA below text VIEW MORE PenFed Credit Union 4.7 4.49% $500 to $150,000 PenFed does not disclose...

Rebecca Betterton is a writer for Bankrate who has been reporting on auto loans since 2021. Through her writing, Rebecca aims to provide clarity and accessibility to the automotive loans industry as the cost to finance new and used vehicles continues to climb due to steep inflation. • Connect with Rebecca Betterton on Twitter Twitter • Connect with Rebecca Betterton on LinkedIn Linkedin • Get in contact with Rebecca Betterton via Email Email Founded in 1976, Bankrate has a long track record of helping people make smart financial choices. We’ve maintained this reputation for over four decades by demystifying the financial decision-making process and giving people confidence in which actions to take next. Bankrate follows a strict Our loans reporters and editors focus on the points consumers care about most — the different types of lending options, the best rates, the best lenders, how to pay off debt and more — so you can feel confident when investing your money. Drivers have been met with headaches and high prices at the dealership and in loan offices over the last year due to the coupled remaining supply chain issues and high-interest rates . This increase is not predicted to decrease anytime soon, says Bankrate Chief Financial Analyst Greg McBride, CFA. “For most car buyers – those with average or better credit – rates will remain below 7% on new car loans and below 8% on used car loans,” says McBride. “But consumers with weaker credit profiles will have a much different...

Helen Wilbers is a Bankrate editor specializing in auto and small business loans. Helen is passionate about demystifying complex topics, such as car financing, and helping borrowers stay up-to-date in a changing and challenging borrower environment. • Connect with Helen Wilbers on LinkedIn Linkedin • Get in contact with Helen Wilbers via Email Email Before arriving at a dealership, it is wise to first research vehicle financing. Auto loans are secured loans that help borrowers pay for a new or used car. They are available from dealerships and lenders, so it is important to shop around to find the best interest rates and terms for your vehicle. Bankrate's best auto loans are selected based on a lender's available rates and terms, customer experience and transparency. Lender highlights are outlined below to help you to determine which vehicle financing option is right for you. Read more Caret Down • Document How to apply for an auto loan Caret Down While a lower monthly payment may seem appealing, pay close attention to available terms, and consider how your loan’s length will impact your overall cost. A longer loan term will lower your monthly cost, but you will pay more interest. Conversely, a shorter loan term means a higher monthly cost but a lower cost over the life of the loan. We’ve maintained this reputation over four decades by prioritizing facts and experience over hype and hearsay, and quickly responding to economic trends that offer our users a more relevant expe...

Results shown are for . Advertised as low as APRs (Annual Percentage Rate) assume excellent borrower credit history. Your actual APR may differ based on your credit history, approved loan amount, term, state of residence and applicable discounts, such as Preferred Rewards. These discounts will be reflected in your individual APR quote if you are approved for a loan. No loan documentation fee, but title and state fees may apply. New car (dealer): Example: A 5-year, fixed-rate new car loan for $37,000 would have 60 monthly payments of $ 358 each, at an annual percentage rate (APR) of %. Used car (dealer): Example: A 5-year, fixed-rate used car loan for $25,000 would have 60 monthly payments of $ 358 each, at an annual percentage rate (APR) of %. Refinance: Example: A 5-year, fixed-rate refinance loan for $23,000 would have 60 monthly payments of $ 358 each, at an annual percentage rate (APR) of %. Buy out your lease: Example: A 5-year, fixed-rate lease buy-out loan for $21,000 would have 60 monthly payments of $ 358 each, at an annual percentage rate (APR) of %. Private party: Example: A 5-year, fixed-rate private party loan for $20,000 would have 60 monthly payments of $ 358 each, at an annual percentage rate (APR) of %. View our • Apply online There's no fee — most decisions take about 60 seconds. • Lock in your rate Apply early so you know how much car you can afford. Your 30-day rate lock adatextgives you plenty of time to shop. • Close the deal With your approved rate i...

LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace. How Does LendingTree Get Paid? Privacy Secured| Starting APR Loan terms Loan amounts Best for… 4.00% to 8.00% 12-84 months From $12,000 4.54% 36-96 months Unspecified 5.19% 36-84 months $500-$150,000 5.44% Up to 60 months Unspecified 5.54%* Up to 84 months Up to $250,000 6.19% Up to 72 months From $7,500 5.99% 36-72 months From $4,000 6.85% 36-72 months Up to $80,000 8.99% * w/autopay and excellent credit 24-84 months* $5,000-$100,000 Read more about *May include rate discount from using autopay or a car-buying service Getting a car can feel a lot like going to a circus — for the main act, a car appears in your driveway and money disappears from your wallet. With an auto loan, you agree to repay a lender over a set term, typically three to six years, in exchange for them paying a dealership (or a private seller) so that you can get a car. You generally pay more than what you borrowed, which equates to profit for the lender. How much more you pay largely depends on your credit score. How to get an auto loan in 3 easy steps Complete the form: Answer a few simple questions. Compare lenders: Get matched with up to five lenders. Save money: Find the loan that’s right for you. With a higher credit score, less of your paycheck wil...