Used Car Loan Rates

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Where can I find out what used car loan rates are?

Used Car Loan Rates

Even if you have perfect credit, your used car loan rate is still going to be higher than the rate you'd pay for a new car loan. Used cars are considered a riskier investment on the part of banks and credit unions. In the eyes of a lender, a used car is partially used up (depreciated).

Lenders like to know that an investment is backed by a reliable asset. Used cars, even the most reliable, have less useful life left in them than a new car and therefore are considered a riskier investment. Banks vary in how much of a premium they tack on to their used car rates.

*It's a good idea to compare rates at several local lenders before choosing one.

   

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