CAR LOAN RATES » Auto Loan News

Getting a pre-approved auto loan can make the process of buying a car much easier and can even help you obtain a lower interest rate on your loan. However, if you’re not sure you can find better car loan interest rates by obtaining auto loan pre-approval, consider the following answers to common questions you may still have:

How Are Pre-Approved Auto Loan Rates Determined?

You can find a pre-approved auto loan just about anywhere that offers conventional car loans. You may obtain pre-approved auto financing through banks and credit unions, dealerships and online. Depending on your personal finances and specific needs, any of these options have potential advantages.

Pre-Approved Auto Loans from Financial Institutions

Mid-Cities Financial Credit Union wants you as their next satisfied member. That’s why they’re not only offering outstanding auto loan rates as low as 3.49% APR, but will also pay you cash to refinance your vehicle from another financial institution.

Get Paid $100 to Refinance Through June 1, 2011

Reports are circulating that Japanese automaker Toyota’s credit rating could get downgraded by Moody’s due to the earthquake that has left it unable to fully operate since March. However, this not-so-great news was balanced by the announcement on Wednesday that it had sold its 1 millionth Prius hybrid in the United States.

Moody’s Could Give Lower Credit Rating

A new report released by the American Automobile Association (AAA) has revealed the cost of operating a vehicle is 3.4 percent higher than a year ago. According to the Auto Club report, a variety of issues are to blame for the increase, including rising gas prices and even bad deals on vehicle resales.

Average Annual Cost to Own a Car $8,776

The right loan, with the right terms. It’s as simple as that. That’s F&A Credit Union’s motto when it comes to car loans, and you could obtain financing with a rate as low as 2.50% APR with this credit union.

This auto loan rate is available to members of F&A Credit Union only. It applies to new car purchases only with 70% financing and a loan term of 36 months. Applicants must have a FICO credit score of 720 or higher.

On Thursday, Toyota announced its overseas plants may need to shut down, which could have an effect on car prices. A spokesman from the auto manufacturer told all 13 of its Toyota factories in the United States, Canada and Mexico that they should be ready for the worst due to parts shortages from Japan.

Parts Shortages Could Cause Shutdowns

Experts expect car prices to increase in the near future as Japanese auto manufacturers halt production to deal with the devastation caused by the massive earthquake and tsunamis that struck the country. While cars currently sitting on dealer lots probably won’t increase in price, experts say cars made in Japan in the coming days and weeks, as well as some American cars using Japanese parts, could be affected.

Cars and Parts Made in Japan Are Slow in Production

New Castle Bellco Credit Union offers a variety of loans with affordable rates to meet your borrowing needs, including auto loan rates that are some of the best in the nation. Right now, members of New Castle CU can get car financing for as low as 3.75% APR.

If you’d like to obtain this car loan rate, you must first become a member of the credit union. The advertised rate applies to new car models only (2010-2011) with a loan term length of 60 months. Note that rates may change in the future and you may be offered a rate different from what’s advertised depending on your individual credit profile.

Interest rates, applications and credit pulls, oh my! Shopping for a car loan is complicated. All is well when determining which car you would like to purchase, but things get sticky when it comes to financing. Why? Most consumers don’t realize that there are a few ways to prepare before heading to the dealership:

1. Know What You Can Afford