 TITLE: What Is the Average Price for a New Car? CONTENT: Average Auto Loan Rates by Credit Score\n---------------------------------------\nRoughly 86% of new vehicles are financed, according to Experian's State of the Automotive Finance Market report for the second quarter of 2020, compared with just 37% of used vehicles. If you're planning on taking out an auto loan to purchase your next vehicle, it's important to understand how much it's going to cost.\nAuto loan rates vary by credit score, so it's important to know where your credit stands to get an idea of the cost of financing. Overall, the average rate on a new car loan is 5.15%, according to Experian data. Here's how that breaks down based on credit score range:\nSource: Experian\nKeep in mind that some manufacturers offer 0% APR financing on some of their new models, but you'll typically need stellar credit to qualify for one of these promotions.\nRegardless of what your credit score looks like right now, take some time to get your credit ready to buy a car by checking your score, reviewing your credit report and addressing potential issues that could make it difficult to get approved for favorable terms. END