car loan interest rates

We are looking for a five year car loan. The lowest rate we are able to find is 3.25. Does anyone have recent experience with obtaining car loans at a lower rate. Please share-))


zero at subaru ( 4/30/18)  was a 3 year loan


Negotiate the price of the car first.  They want you to use the financing thru them (no matter what dealer or car).  For some cars, they make more on the financing than the sale of the car.  



mikescott said:
Negotiate the price of the car first.  They want you to use the financing thru them (no matter what dealer or car).  For some cars, they make more on the financing than the sale of the car.  


 I did that. Got my price.

Then when it was time to do the financing they were disappointed when I said "I'll pay cash instead."


BG9 said:


mikescott said:
Negotiate the price of the car first.  They want you to use the financing thru them (no matter what dealer or car).  For some cars, they make more on the financing than the sale of the car.  
 I did that. Got my price.
Then when it was time to do the financing they were disappointed when I said "I'll pay cash instead."

 of course...  The only way to make money off of you now is to add some extras or on servicing your car.


The dealer. I went in with a pre-approved rate from Capital One for 3.5% on a used car Toyota offered 2.99 to use their financing. 


mikescott said:


BG9 said:

mikescott said:
Negotiate the price of the car first.  They want you to use the financing thru them (no matter what dealer or car).  For some cars, they make more on the financing than the sale of the car.  
 I did that. Got my price.
Then when it was time to do the financing they were disappointed when I said "I'll pay cash instead."
 of course...  The only way to make money off of you now is to add some extras or on servicing your car.

When I was new to financing and had just okay credit, the dealer said the rate with warranty was 8% without warranty 16%. I was desperate for a car for work so I got it. I wish I knew could’ve cancelled the warranty a month later. No idea of that was even legal what they did. 


To help the OP, if you have access to a credit union call and get their rates.  As mentioned above, the dealer makes money for selling you a loan, so they will beat the rate you present.


There are credit unions you can join. 


The 0% is usually for peeps with excellent credit  = 800.


the dealership may be able to do better. Depends on your credit score


About 10 months ago, we got .99% at Crystal Toyota. Not worth paying cash with a loan like that.


ElizMcCord said:
The dealer. I went in with a pre-approved rate from Capital One for 3.5% on a used car Toyota offered 2.99 to use their financing. 

 This! Go in with pre-approved loan from elsewhere and dealer will beat the rate.


We recently got a 2.99%  rate from Alliant Credit Union (online). It was a hassle free process.


Thank you everyone!! Really appreciate all the tips!!


Just bought a Honda and got 1.99 for 5 years. (Planet Honda.)



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