What is a Good Interest Rate for a Car Loan?

Keys on calculator

If you’re like a lot of our Wilmington customers, you like to do your research before buying a car. You want to know how much you can expect to pay for the car you want and what the average rate on a car loan is. Or, maybe you’ve already bought a car, and now you’re wondering if you got the best rate possible on the loan. Fortunately, the finance experts at Land Rover Wilmington know what a good car loan interest rate is, which is why put together this handy guide!

What is a Good Car Loan Rate?

That depends! The lender will take into account a number of factors, including your credit score, the length of the loan, and whether the car is new or used. The rates below reflect what you can expect from most Newark-area lenders.

Average Interest Rate on a Car Loan by Length of the Loan (2020)

  • 36 Month – 4.21%
  • 48 Month – 4.31%
  • 60 Month – 4.37%
  • 72 Month – 4.45%

Average Interest Rate on a Car Loan by Credit Score (on a 60-Month Loan)

  • 500-589 – 15.24%
  • 590-619 – 14.06%
  • 620-659 – 9.72%
  • 660-689 – 7.02%
  • 690-719 – 4.95%
  • 720-850 – 3.60%

A Good Interest Rate for a Car Loan Varies by Lender

You may be surprised to find out that different lenders often offer different rates to car shoppers. That doesn’t mean you have to traipse all over the greater West Chester, PA area looking for the lender who is going to offer you the best deal. Most dealerships deal with multiple lenders, and they will be able to find the best rate for you!

Let Our Finance Department Help You Get Into Your Next Car

Our friendly finance managers will be happy to walk you through all of your loan options. We make it easy for you to get behind the wheel of your next car. You can even apply for financing online. We’ll even give you some pointers on how to raise your credit score before applying, as well as how much should you put down on a car leaseSo drop by or contact us today!

Recent News From Land Rover Wilmington

  • 2025 Range Rover Velar Performance

      Newark drivers can select from one of two sets of Range Rover Velar engine specs. The Range Rover Velar P250 specs set a bold standard, while the Range Rover Velar P400 Mild Hybrid powertrain was made for serious performance enthusiasts.  Land Rover Wilmington will walk you through the Range Rover Velar mpg figures and more. We…

  • 2025 Defender Exterior

      You can make your Defender exterior truly your own with a vast selection of available body styles, colors, and accessories. The Defender 90, Defender 110, and Defender 130 have a vast universe of customization options and Land Rover Wilmington wants to be your guide on this wonderful journey. Explore further below, then consider a trip to…

  • 2025 Velar Trim Levels

      Rugged yet luxurious, powerful yet efficient, and compact yet surprisingly roomy, the Velar is just as at home on the roads of Wilmington as it is hitting the trails beyond West Chester, PA. The 2025 Velar trim levels give you a wide range of options for personalizing your driving experience. Get to know the different Velar…

Land Rover Wilmington 39.7267447, -75.6512662.