Interest rates have dropped over the past 30 days. Clients with credit scores of 730 or higher were being offered rates of 6.5-7.5%. Now, we are seeing 5.95-6.95%. Not a huge drop, but heading in the right direction.
Clients with scores in the mid-600 range had been faced with rates of 11-14% for quite a while. Recently, those rages have also dropped by half a point.
With prices on used vehicles averaging $26K, a normal payment is now $600/mo, which is $250 more than the average car payment on a pre-owned vehicle in 2017. When new vehicles are included, the average payment jumps to $729/mo, an increase of $230 since 2017.
When interest rates drop, be ready to refinance the auto loan. It should cost no extra money to refinance.
Call Brian or any of our consultants with any questions or concerns. We are here to help all auto owners!
