Auto Loan Interest Rate Calculator

Discover how your credit score affects your car loan payments

Loan Details
Enter your auto loan information

Average new car: $48,000 | Average used car: $28,000

Your Results
Based on your credit score: 740-850
$604
Monthly Payment
7.71%
Interest Rate
$6,248
Total Interest
Credit Score Comparison - Used Car Rates
See how different credit scores affect your auto loan
Credit ScoreRatingInterest RateMonthly PaymentTotal InterestExtra Cost
740-850Excellent7.71%$604$6,248Best Rate
670-739Good10.48%$645$8,671+$2,423
580-669Fair15.24%$717$13,049+$6,801
300-579Poor20.99%$811$18,686+$12,438
$13.3%
Higher rate with poor credit
$12,438
Extra cost on $30K loan
7.71%
Best rate available
Auto Loan Credit Requirements

Excellent Credit (740+)

  • Qualify for manufacturer incentives and 0% APR offers
  • Access to the best rates from banks and credit unions
  • Minimal down payment requirements
  • Pre-approval gives strong negotiating power

Good Credit (670-739)

  • Competitive rates from most lenders
  • May qualify for some manufacturer incentives
  • Good selection of loan terms
  • Reasonable down payment requirements

Fair Credit (580-669)

  • Higher interest rates but still qualify
  • May need larger down payment
  • Consider credit unions for better rates
  • Shorter loan terms may get better rates

Poor Credit (Below 580)

  • Subprime lenders with high rates
  • Large down payments often required
  • Consider improving credit before buying
  • Buy here, pay here lots as last resort
Smart Auto Loan Strategies

Before You Shop

  • Check your credit score and report
  • Get pre-approved from banks/credit unions
  • Determine your budget including insurance
  • Research vehicle values and reliability

New vs. Used Cars

  • New cars typically get lower interest rates
  • Used cars (2-3 years old) offer best value
  • Cars over 7 years old may have higher rates
  • Consider certified pre-owned for warranty

Loan Term Considerations

  • Shorter terms = higher payments, less interest
  • Longer terms = lower payments, more interest
  • Avoid being "upside down" on the loan
  • Consider the car's useful life vs. loan term

Improving Your Rate

  • Make a larger down payment (20%+ ideal)
  • Consider a co-signer with good credit
  • Shop around with multiple lenders
  • Time your purchase after credit improvements
Factors That Affect Your Auto Loan Rate
Understanding what lenders consider when setting your interest rate

Primary Factors

Credit ScoreMost Important
Loan TermVery Important
Vehicle AgeVery Important
Down PaymentImportant

Secondary Factors

Income & EmploymentImportant
Debt-to-Income RatioImportant
Vehicle Type & ValueModerate
Existing RelationshipModerate

Ready to Get the Best Auto Loan Rate?

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