Auto Loan Rates – The Basics

At Auto Loan, we offer the best rates in our industry, but you as a consumer can easily compare lenders by filling out a car loan, no-obligation, application form.  Remember, even if you have bad credit, we want to hear from you

Some of the information you will need to understand when making your Auto Loan or refinance loan decision is how Auto Loan and Interest Rates work?

APR – Annual Percentage Rate:  This is a yearly rate of interest charge on Auto Loans that includes all the expenses and fees paid to obtain the loan.  Federal laws make the lender tell the customer what their APR is up front.  The APR is the only interest rate you will require when you start to compare one Auto Loan against another Auto Loan.  This rate will provide you with the information, so you can instantly tell which Auto Loan is cheaper.



Down Payment – This is the amount of cash the customer plans to put down to purchase the vehicle.  This has to be done at the time the customer purchases the vehicle and doesn’t include trade-ins of other vehicles, incentives, or rebates.  The down payment is used to lower the final amount of the Auto Loan the customer is asking for, after it has been calculated to show the taxes, trade-in, and other expenses involved with making the purchase.

Interest Rate – The annual amount of return that the lender receives on the base amount, or principal, of the loan.  Like APR, which is notable to the customer, Interest rate is used in the same fashion by the lender.

Loan Term – The term of the loan is the number of months the money is being borrowed for.  The longer the loan is, the more interest the customer must pay on the loan, which is why it is important to find the best rates when you plan to take out a Auto Loan.  At Auto Loan, we supply you the best rates in the industry.

Principal – This is the amount, total, of the Auto Loan, less the down payment.

Now that you understand the basics, you can understand why it is important to work with a company like Auto Loan, and its lenders, as they can provide you the best rates when it comes to financing your next vehicle.

This great group of people work hard to make sure you save money for those more enjoyable things, like tanking up your new vehicle and cruising down the highway to some fabulous destination, you have been wanting to visit.

So, before going anywhere else, stop by Auto Loan for a free online quote, simply fill in our application form today!  In less than 48 hours, that new vehicle could be sitting in your laneway at home.  Don’t forget to ask about our auto loan tips, too!

Apply Now!