A good credit score can get you a lower interest rate, while a poor credit score-or having no credit-can push you into the subprime category
The best rates go to those with good credit, but there are still ways to save money if your credit has room for improvement
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If you’ve ever financed the purchase of a car or a refrigerator, you know your credit score is important to getting a good deal.
This indicates a higher risk to the lender, so you have to pay more, adding significant finance costs on top of the purchase price.
But your credit rating may not payday loans in Pikeville online be the only factor driving up the rate on your car loan. If you finance through the car dealer, using a lending option that they broker rather than a bank or credit union, the rate is often higher because the dealership takes a cut for acting as the middleman.