What is a Good Interest Rate for a Car Loan?
Car shopping in Westlake Village can be tough. After all, finding your favorite car, crossover, or SUV in our inventory is only the beginning of your journey! Our finance team at Rusnak/Westlake Porsche will help you learn the answer to one of our most frequently asked questions: “what is a good interest rate for a car loan?”
What is the Average Interest Rate on a Car Loan?
If you’re wondering “what is the average interest rate on a car loan?” there’s no one true answer. After all, it’s entirely dependent on your credit score. Malibu drivers with great credit may enjoy a rate that’s near 4%, while drivers near Agoura Hills with less than ideal credit could end up with an annual percentage rate over 10%. So, what is the average interest rate on a car loan? Generally speaking, the annual percentage rate is between 3-4.5% for a three-year loan. Browse average rates by credit score below:
APR by Credit Score (New Car)
- 781-850: 3.17%
- 661-780: 4.03%
- 601-660: 6.79%
- 501-600: 10.98%
- 300-500: 13.76%
APR by Credit Score (Used Car)
- 781-850: 3.8%
- 661-780: 5.48%
- 601-660: 10.1%
- 501-600: 16.27%
- 300-500: 19.32%
What is a Good Car Loan Rate?
Of course, the lower the rate, the better. However, a 3% interest rate may not be attainable for all drivers. However, there are plenty of ways to improve your odds at the dealership, from making a bigger down payment to negotiating a trade-in deal.
How Do I Get the Best Interest Rate Possible?
If you’re looking to get the best interest rate possible – and let’s face it, of course you are – then you’ll want to monitor your credit closely. Check your credit score to get an idea of what rates you can expect and if you can, start to whittle down existing debts – pay off outstanding loans, make future payments on time, and so forth.
Finally, remember that the interest rate is just one part of your loan, so don’t overlook the fine print on your agreement!
Find Your Next Car at Rusnak/Westlake Porsche
Are you ready to see how our finance team can help you get behind the wheel of your dream Porsche? Contact us today, and we’ll be glad to work out the perfect plan for your drives through Oxnard. We’d even love to help you learn about Santa Monica hiking trails.
Recent News From Rusnak/Westlake Porsche
New Porsche Panamera Stock The 2019 Porsche Panamera interior is where premium materials and smart design intersect, where luxury and comfort coexist together seamlessly, and where style and technology refuse to compromise. The driver-centered ergonomics make the Porsche Panamera a delight to drive around the Westlake Village area, while this luxury car’s operative ingenuity will leave…
View InventoryContact Us Westlake Village drivers know that the 2020 Porsche 911 Carrera is a sleek beast equipped with a twin-turbocharged engine that has a top speed of 182 mph, goes 0-60 mph in just 4 seconds flat, and gives the driver 379 hp…but is it comfortable? Yes. In fact, the latest Porsche 911 interior isn’t…
Contact Us Luxury car fans around Malibu and Oxnard have been waiting on the edge of their seats for the reveal of the new Porsche 911 Speedster, and it did not disappoint. Find out what awaits shoppers with a need for speed inside with the Porsche release! Performance Powerhouse Packed full of power, the new…