Credit unions are not-for-profit financial institutions that are owned by their members. They typically offer lower interest rates on auto loans than banks and other lenders. Some credit unions that offer low auto loan interest rates include:
* Navy Federal Credit Union
* PenFed Credit Union
* Alliant Credit Union
* Consumers Credit Union
* State Employees' Credit Union
Online Lenders
Online lenders are another option for getting a low auto loan interest rate. These lenders operate entirely online, which allows them to keep their overhead costs low and pass on the savings to their customers. Some online lenders that offer low auto loan interest rates include:
* Capital One Auto Finance
* LightStream
* LendingClub
* SoFi
* Carvana
Bank Promotions
Some banks offer special promotions that can help you get a low auto loan interest rate. These promotions may be available to new customers, customers who have a certain amount of money deposited with the bank, or customers who meet other criteria. Be sure to ask about any special promotions that may be available when you're shopping for an auto loan.
Dealer Incentives
Some car dealers offer incentives to buyers who finance their purchase through the dealership. These incentives may include a lower interest rate, a cash rebate, or other benefits. Be sure to compare the dealer's incentives with the interest rates offered by credit unions, online lenders, and banks before you make a decision.
Compare Rates
Before you sign an auto loan, be sure to compare rates from multiple lenders. You can do this by using a car loan comparison tool or by contacting each lender directly. By taking the time to compare rates, you can save yourself a lot of money in interest over the life of the loan.
