The average interest rate on new car loans at auto finance companies hit an all-time low of 3.17 percent, according to the Federal Reserve. This new rate of 3.17 percent beats the old record of 4.85 percent, which was the rate in the first quarter of 2008.
To give you an idea of how low the average rate is now, in January, the average new car auto loan rate was 8.23 percent, and was 8.42 percent in December.
For 48-month new car loans at commercial banks, the average interest rate was 6.92 percent in February, SubPrime Auto Finance News reports.
So if you’re in the market for a new car and need a car loan to buy it, with rates hitting record lows, you’re sure to find a great auto loan rate deal, especially if you have good credit.
Need a car loan to buy your next new car? The average interest rate has hit an all-time record low, meaning you’ll pay less in interest charges over the life of your auto loan.