Best auto loan rates In Houston, Texas (2024)

FAQs

Who is offering the best auto loan rate? ›

According to our research, AutoPay currently offers the best auto loan rate for new car purchases, with annual percentage rates (APR) as low as 4.67% for new vehicles. PenFed Credit Union, Auto Approve, Consumer's Credit Union, Auto Credit Express and iLending also offer some of the most competitive rates available.

To understand what car loan interest rate you might qualify for based on your credit score, check out the average rates below for different credit tiers: Excellent (750 - 850): 2.96 percent for new, 3.68 percent for used. Good (700 - 749): 4.03 percent for new, 5.53 percent for used.

I... Top Banks like Canara Bank, HDFC Bank, ICICI Bank, Punjab National Bank, and State Bank of India are providing the cheapest car loans. Canara Bank interest rates range from 8.80 percent to 11.95 percent. HDFC Bank car loans start from 8.75 percent.

If you take out a $30,000 loan with an interest rate of 6%, you will pay $1,800 in interest per year. Here's the calculation: Interest = Principal * Interest Rate.

For instance, using our loan calculator, if you buy a $20,000 vehicle at 5% APR for 60 months the monthly payment would be $377.42 and you would pay $2,645.48 in interest.

Auto loan rates for new and used vehicle purchases fell in the first quarter of 2024 to 6.73% and 11.91%, respectively, down slightly from the 15-year highs we saw at the end of 2023, according to Experian.

What is a good interest rate on a new car right now? ›

Generally, a good APR for a car loan might look something like this: Excellent Credit (750+): 3% or lower for new cars, 4% or lower for used cars. Good Credit (700-749): 4-5% for new cars, 5-6% for used cars. Fair Credit (650-699): 6-7% for new cars, 7-8% for used cars.

People with excellent credit qualified for rates around 5.38 percent, while people with bad credit had an average new car rate of 15.62 percent. Rates for used cars were higher — 11.91 percent across credit scores. And the average rate for bad credit was a sky-high 21.57 percent.

McBride shares that while the high-rate environment will persist, rates will ease for most borrowers in 2024. Increased competition between lenders may help drivers secure a good rate.

Yes, just like the price of the vehicle, the interest rate is negotiable. Dealers may not offer you the lowest rate that you qualify for. To get the best interest rate, shop around with multiple lenders and negotiate.