 TITLE: How Much of a Down Payment Should You Make on a Car? CONTENT: How to Lower Your Monthly Car Payment\n-------------------------------------\nIf your goal in making a larger down payment is to reduce your monthly costs, making a bigger down payment isn't your only option. Explore doing the following:\n1.  Bump up your credit score. A higher credit score can lead to a lower interest rate and, therefore, a lower monthly car payment. A credit score below 600 might mean an interest rate of around 11% or more on a new car, while a credit score of at least 750 could land you an interest rate in the 4% range, according to Experian's State of the Automotive Finance Market for the second quarter of 2020. If you check your credit score and don't like what you see, you can take steps to improve it such as paying your bills on time, chipping away at your credit card balances and catching up on past-due payments.\n2.  Shop around for auto loans. Check with various lenders, including banks and credit unions, to see who might offer the best lending terms (including an attractive interest rate). With that information in hand, ask the car dealership whether it can offer a better financing deal.\n3.  Lower your expectations. So, you've got your eye on a fancy brand-new sports car. Well, getting behind the wheel of that ride might come at a steep price. Maybe you can buy that car if you settle for the base model without any of the bells and whistles. Or perhaps you can settle for a less costly but perfectly fine new model that will still get you where you need to go. Or you might even choose a top-quality yet lower-priced used car. END