Auto Loan Lowest Rates
We are about to purchase a new auto, ought to we wait a bit to see whether auto loan rates go down? Thanks!
Answer by ca.alert
Yes banks “normally” follow the fed rate
Answer by ACS
It is a toss up. Though the fed rate has dropped, it is only one half of a percent, which is extremely slight. Also, some banks may follow the fed rate, but more often than not, banks follow what the other banks around them are doing. That getting stated, it depends a lot more on the bank, and the specific market you are in than what the fed is doing.
The short answer, is retail rates should edge downward in the next couple months. But the difference in a half point apr on an auto loan is probably less than you think it is, on your payment.