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For first-time car buyers, one of the most daunting parts of negotiating a good deal right now is interest rates.The average auto loan rate for someone with excellent credit is 5.25%, according to ...
Buying a car is a major financial commitment, and for most people, it involves taking out a loan. Along with the loan comes interest, which is the cost of borrowing money from a lender. Read Next:...
Credit score. Average interest rate for new car loans. Average interest rate for used car loans. 781 to 850. 5.61%. 7.43%. 661 to 780. 6.88%. 9.33%. 601 to 660
The average annual percentage rate on a new car loan in 2019 was 5.1%. ... In December 2024, the average age of vehicles traded in for a new car was 5.7 years old, up from a low of 4.5 years old ...
The borrower then pays off the financial institution the same as for a direct loan. [citation needed] Typically, the indirect auto lender will set an interest rate, known as the "buy rate". The auto dealer then adds a markup to that rate, and presents the result to the customer as the "contract rate".
During that period, the average monthly lease payment rose from $513 to $597 (interest rates can also affect leasing costs), and the average monthly car payment rose from $617 to $726.
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