Car buyers can usually be counted on to shop around for the best price on their desired vehicle. The problem, however, is that they don't always shop around for the best rate on their auto loan. So while they save a few hundred dollars on the sticker price, they end up paying hundreds or even thousands more than they should have in interest to a lender.
With any major purchase, it pays to secure the most affordable financing that suits your needs. A vehicle purchase is no different. So, how can you find current auto loan rates online?
Go Through Your Bank or Credit Union
Banks and credit unions often have their current auto loan rates posted on their website. You can also just phone the office or ask a representative in person for the current rates.
Start with your preferred institution and see what it has to offer. Compare its rates to other banks in your area and, if they're not up to par, negotiate a lower rate using competitors' rates and your membership as leverage.
Go Through a Local Newspaper
Some newspapers offer local auto loan rates. This is a great tool for finding rates in your area without having to navigate 10 drop-down menus to select your location.
For example, The Courier-Journal in Louisville, Ky., updates rates every Sunday for 12 lenders, including fixed-rate and variable-rate loans on new and used vehicles. It also lists required down payment percentages.
Check your local newspaper's website for similar information.
Visit Rate Aggregating Websites
If you're interested in doing a side-by-side comparison of rates in your area, you'll probably want to use a rate aggregating website, of which there are many on the web. These sites post frequently updated loan and deposit rates for local and national banking institutions. Simply enter in your zip code and start the search.
For accurate rates and qualitative content, check out GoBankingRates.
The Bottom Line
Finding current auto loan rates online is simple and straightforward. Whichever option you choose, be sure you don't pay a dime more than you have to when financing that new car!
