getting a loan: are interest rates high now?
#1
getting a loan: are interest rates high now?
About six months ago, out of curiosity, I applied online for a loan through my local scion dealer and I remember it being around 5%. I was just looking online now and noticed that they are all 6.5% and higher.
Have general interest rates gone up? Should I wait to get a loan to see if rates drop? My credit is excellent, so that isnt my concern.
Any suggestions on what I should do consider the current rate of loans?
Thank you.
Have general interest rates gone up? Should I wait to get a loan to see if rates drop? My credit is excellent, so that isnt my concern.
Any suggestions on what I should do consider the current rate of loans?
Thank you.
#4
Interest rates are tied into the Fed's prime rate, which has been raised a couple % points over the last year or so. As it goes up, the interest rates charged by lenders for car loans (and credit card APR's!) tend to go up. Bankrate.com is a good site to look at to shop for good interest rates. Rates won't drop any time soon, but they aren't likely to climb much higher.
#5
It all depends who you listen to. Me, i take my financial info from several reputable sources. All of them say that the FED ( Allen Greenspan ) will continue to raise % rates to keep inflation in check. I wouldnt expect the FED to drop % rates for the next few years. It was thought that with the 2 hurricanes in the Gulf that the FED would hault the increases. He didnt, it went up 1/4 point a month after.
When the FED increases the % rates ... it goes across the board. It cost more money to borrow money. Yet, it also makes money in savings .. CDs .. and bills. My savings % rate went up almost one whole point since the spring. With this the % rates for mortgages have also gone up. The highest they have been in a few years.
That being said ... check with you local bank for % rates. Then check online banking for their rates. When i bought my box back in April of '04 the cheapest place to get my financing was with Toyota Financial @ 4%. 2 months later it was up to 4.5% If you have great credit, it pays to shop around.
When the FED increases the % rates ... it goes across the board. It cost more money to borrow money. Yet, it also makes money in savings .. CDs .. and bills. My savings % rate went up almost one whole point since the spring. With this the % rates for mortgages have also gone up. The highest they have been in a few years.
That being said ... check with you local bank for % rates. Then check online banking for their rates. When i bought my box back in April of '04 the cheapest place to get my financing was with Toyota Financial @ 4%. 2 months later it was up to 4.5% If you have great credit, it pays to shop around.
#6
i had same problem. they go up about every six months, and from what I've heard, interest rates aren't supposed to go back down for at least another year or so. I would buy sooner just in case it goes up again. I bought mine early october and the rates had just went up. Your best bet is to go through a credit union or apply for a loan elsewhere. As long as you have long established credit.
Thread
Thread Starter
Forum
Replies
Last Post
ColonelSanders85
PPC: Engine / Drivetrain
18
03-03-2015 03:31 AM
NonStopTuning
Exclusive Sponsored Sales
4
01-20-2015 05:20 AM
TheTripleC
PPC: Vehicles
1
01-04-2015 06:46 PM