Auto Loan Rates Explained: 36, 48, 60, 72, 84 Month Terms, Which Is Right for You?
Buying a car is exciting, but figuring out the best way to finance it can feel overwhelming. One of the biggest decisions you’ll make is choosing the right loan term, the length of time to pay off your car. Should you go with 36 months, 48 months, 60 months, 72 months, or 84 months? Each option has its pros and cons; understanding them can save you money in the long run.
If you already have a car loan with another lender, refinancing could be a smart move. You might be able to lower your interest rate, reduce your monthly payment, or shorten your term to save money over time.
At Indiana Members Credit Union (IMCU), we’re here to make the process simple. We offer competitive options, personalized service, and tools to help you make the best choice for your budget.
Understanding Loan Terms
Your loan term is the length of time you’ll take to pay off your car. Here’s what that means for you:
36 Months
Shorter term, higher monthly payment but less interest overall. Great if you want to pay off your car quickly and save on interest.
48 Months
A good middle ground between short and long terms. Payments are more manageable than 36 months, and you still save on interest compared to longer terms.
60 Months
A balanced option. Moderate monthly payments with a reasonable interest cost.
72 Months
Lowest monthly payment among standard terms, but you’ll pay more in interest over time. Ideal if you need flexibility in your budget.
84 Months
Longest term available, which means the lowest monthly payment but the highest total interest cost. Best for buyers who need the most room in their monthly budget.
Other Things to Consider When Looking for Auto Financing for a New or Used Vehicle
Down Payment: The more you put down upfront, the less interest you’ll pay.
Credit Score: A stronger credit score can help you qualify for better loan options.
Pre-Approval: Getting pre-approved makes car shopping easy and gives you confidence in your budget.
Auto Advisor Program: Not sure where to start? IMCU’s Auto Advisor Program can take the stress out of the car-buying process by helping you locate the right vehicle, referring you to trusted dealers, and even assisting with leasing options. With this program, you can search, shop, and finance all in one convenient hub.
Add-Ons: When making your purchase, you’ll have options for payment protection coverage, extended warranties, and other add-ons to give you peace of mind.
GAP Insurance: IMCU offers GAP insurance and can roll it into your loan without increasing your payment, a more affordable way to protect your investment.
IMCU isn’t just about great options, we’re here to help you every step of the way. From personalized service and a financial relationship that puts your needs first to options like refinancing that can help you save money.
Use Our Auto Loan Calculator
Not sure which term fits your budget? Try our auto loan calculator to estimate monthly payments for different scenarios. It’s a quick way to see how your choices impact your finances.
Ready to Get Started?
Getting pre-approved is easy! For our current rates, eligibility requirements, and full loan details, please visit our website. Apply online today or contact your local IMCU branch to find the best auto loan for you.
Why Choose IMCU?
When you choose IMCU, you’re choosing more than financing. You’re choosing great service, helpful resources, and a financial partner you can trust. Our goal is to make your car buying experience smooth, affordable, and stress free so you can focus on enjoying your new ride.
Your next car is waiting, and IMCU is here to help you drive it home.