Best Auto Loan Rates 2026

Compare new & used car loan rates from banks, credit unions, and online lenders. Find the lowest APR before you visit a dealership.

📅 Updated March 2026🚗 25+ Lenders Reviewed
5.99%
New Car (72-mo)
7.03%
Used Car (60-mo)
4.99%
Best Available
6.25%
Refi Rate
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Pro Tip: Get pre-approved before visiting a dealership. Pre-approval gives you negotiating power and protects you from dealer financing markups, which average 1–2% above your actual qualifying rate.

New vs. Used vs. Refinance Auto Loans

🆕
New Car Loan
Lowest rates (lenders view new cars as less risk). Manufacturer subsidized rates sometimes available (0% promotional APR).
From 4.99% APR
🚙
Used Car Loan
Slightly higher rates than new. Age & mileage restrictions apply (typically under 10 yrs / 100K miles). Great value if you choose wisely.
From 5.99% APR
🔄
Auto Refinance
Replace your current loan with a lower rate. If rates dropped or your credit improved, refinancing can cut hundreds off total interest.
From 5.49% APR

Top Auto Loan Lenders — 2026

🏆 Best Overall
PenFed Credit Union
Best Rates for New & Used Cars
★★★★★
4.9/5
4.99%–17.99%
APR Range
$500–$150K
Loan Amount
610+
Min. Credit
1–2 days
Funding

Pentagon Federal Credit Union consistently offers the lowest auto loan rates in the country. Membership is open to everyone. They offer new, used, and refinance loans with no application fee. Their online application is fast, and you get a blank check to use at any dealership. One of the best-kept secrets in auto financing.

Pros
  • Industry-leading low rates
  • Open to all (easy to join)
  • No application fees
  • Blank check for dealerships
Cons
  • Requires CU membership
  • No same-day funding
  • Vehicle restrictions apply
Check Rate at PenFed →
LightStream Auto
Best for Excellent Credit
★★★★★
4.8/5
5.49%–16.99%
APR Range
$5K–$100K
Loan Amount
660+
Min. Credit
Same day
Funding

LightStream's auto loans come with no restrictions on vehicle age, mileage, or dealer. They fund directly to your bank account, so you shop like a cash buyer. Zero fees of any kind. Same-day funding available. Their Rate Beat Guarantee will beat any competitor's offer by 0.10%.

Pros
  • No vehicle restrictions
  • Same-day funding
  • No fees ever
  • Rate beat guarantee
Cons
  • 660+ credit required
  • No prequalification
  • Bank account required
Check Rate at LightStream →
Capital One Auto Finance
Best for Shopping at Dealerships
★★★★
4.4/5
6.49%–24.99%
APR Range
$4K–$75K
Loan Amount
500+
Min. Credit
Same day
Funding

Capital One's Auto Navigator lets you pre-qualify and browse dealer inventory in one place — no hard pull. Works at 12,000+ dealers nationwide. Accepts lower credit scores than most banks. One of the best options for borrowers rebuilding credit.

Pros
  • Pre-qualify (soft pull)
  • 12,000+ dealer network
  • Accepts 500+ credit
  • Great mobile app
Cons
  • Dealer-only (no private)
  • Higher rates for poor credit
  • Vehicle age limits apply
Check Rate at Capital One →
MyAutoLoan
Best Marketplace for Multiple Offers
★★★★
4.3/5
5.99%–29.99%
APR Range
$5K–$100K
Loan Amount
575+
Min. Credit
Same day
Funding

One application, up to 4 competing lender offers. MyAutoLoan is a marketplace that gets lenders competing for your business, often resulting in better rates than going direct. Good for comparison shopping without multiple hard pulls.

Pros
  • Compare up to 4 offers
  • One application only
  • Soft pull pre-check
  • Works for refinance too
Cons
  • Rates vary by state
  • Not all lenders top-tier
  • $5K minimum loan
Get Multiple Offers →
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Auto Loan Comparison Table

LenderAPR RangeAmountMin. CreditNew/Used/RefiFundingRating
PenFed CU4.99%–17.99%$500–$150K610All 31–2 days★★★★★Get Rate
LightStream5.49%–16.99%$5K–$100K660All 3Same day★★★★★Get Rate
Capital One6.49%–24.99%$4K–$75K500New & UsedSame day★★★★Get Rate
MyAutoLoan5.99%–29.99%$5K–$100K575All 3Same day★★★★Get Rate
Bank of America6.09%–14.54%$7.5K–No Max580New & Used1–2 days★★★★Get Rate
AutoPay5.49%–24.99%$2.5K–$100K560All 31–2 days★★★★Get Rate
Navy Federal CU4.54%–18.00%$250–No MaxN/AAll 3Same day★★★★★Get Rate

FAQs — Auto Loans

Should I get financing from a bank or the dealership?
Always get pre-approved by a bank or credit union first. Dealer financing is convenient but often marked up 1–2% above your qualifying rate. Bring your pre-approval as leverage — dealers sometimes beat it to keep the financing revenue.
How long should my auto loan term be?
Shorter is better financially. A 48-month loan saves significantly vs a 72-month loan in total interest paid. However, 60 months is the most popular balance of affordability and cost. Avoid 84-month loans — you'll likely be underwater on the vehicle's value.
Can I refinance my car loan?
Yes. If rates have dropped since you got your loan, or if your credit score has improved significantly (50+ points), refinancing could save you money. Best to refi within the first 3 years before too much interest has already been paid.
Advertiser Disclosure & Disclaimer: LoanCare is an independent advertising-supported loan comparison website. All content is for comparison and informational purposes only — not financial, legal, or investment advice. We may receive compensation from partner lenders when you click links. Rates shown are estimates and subject to change. Verify all terms directly with lenders before applying. Full Disclaimer · Advertising Policy