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It is not difficult to find out what the average car loan interest rate is. It is a smart idea to research this information prior to shopping for an auto loan because it will give you a good idea of what interest rate you should settle for. For example, you don't want to accept a car loan interest rate of 7 percent simply because your bank offers it to you; if you can find a rate of 6 percent using a different lender, it will save you quite a bit of money in interest charges over the life of the loan.
To find out what the average car loan interest rate is, check with one of the many interest rate tracker websites online. MSN Money has a simple website which features daily national averages for all types of loans, including auto loans. When you view this information, keep in mind that if you have excellent credit you will be able to find a lower than average interest rate, and if you have a blemished credit history then you can expect to receive a higher than average interest rate. Knowing the average car loan interest rate, however, will help you tremendously when you go to finance your next car loan.
|Jennifer Mathes, Ph.D.|