How to Read the Rate Table
The tables below show average annual percentage rates (APRs) for new and used car loans, broken down by credit score tier. These figures come from Experian's State of the Automotive Finance Market report for Q1 2026 and represent average APRs across loan terms and lenders. Your actual rate may be higher or lower depending on your credit profile, loan term, vehicle age, down payment, and the lender you choose.
APR includes both the interest rate and any fees financed into the loan. The averages are not quotes and are not guaranteed by any lender. Rates change frequently as market conditions shift, and the data here is point-in-time.
Sources: Experian
Average New Car Rates by Credit Tier
For new car loans, the average APR ranged from 4.55% for borrowers with super prime credit (scores of 781 or above) to 16.01% for deep subprime borrowers (scores of 300–500) in Q1 2026. The overall average new car loan APR was 6.39%.
| Credit tier | Credit score range | Average APR |
|---|---|---|
| Super prime | 781 or above | 4.55% |
| Prime | 661–780 | 6.54% |
| Nonprime | 601–660 | 10.45% |
| Subprime | 501–600 | 14.71% |
| Deep subprime | 300–500 | 16.01% |
Sources: Experian
Average Used Car Rates by Credit Tier
For used car loans, average APRs were higher across every credit tier, reflecting the higher risk associated with older vehicles. The average used car APR ranged from 6.30% for super prime borrowers to 21.77% for deep subprime borrowers. The overall average used car loan APR was 11.43% in Q1 2026.
| Credit tier | Credit score range | Average APR |
|---|---|---|
| Super prime | 781 or above | 6.30% |
| Prime | 661–780 | 9.18% |
| Nonprime | 601–660 | 14.48% |
| Subprime | 501–600 | 18.58% |
| Deep subprime | 300–500 | 21.77% |
Sources: Experian
Why rates vary by lender
Auto loan rates are influenced by several factors beyond your credit score. The Federal Reserve's federal funds rate affects the Wall Street Journal prime rate, which serves as a benchmark for many consumer loans. When the Fed changes its rate, auto loan rates often follow. Additionally, new car loans typically have lower interest rates than used car loans because new cars have higher and more predictable collateral value.
The type of lender also matters. According to a CFPB report, subprime borrowers who obtain financing from banks often pay lower rates than those who borrow from finance companies or buy-here-pay-here dealerships. The same report noted that average subprime interest rates were approximately 10% at banks, compared with 15% to 20% at finance companies and buy-here-pay-here lots. Shopping around among different lender types can make a meaningful difference in the rate you are offered.
Sources: Experian, Consumer Financial Protection Bureau
methodology
The rate tables on this page are drawn from Experian's State of the Automotive Finance Market report for Q1 2026, which compiles data from credit records and loan information across the U.S. The CFPB data on subprime rates and lender-type differences comes from a Data Point report published in September 2021, which is based on loan-level data. While the CFPB data is older, it provides insight into how lender types can affect rates.
Rates change frequently, and the numbers shown reflect the data vintage noted above. For the most current individual quotes, contact multiple lenders directly. No rate on this page is a guarantee or an offer to lend.
Sources: Experian, Consumer Financial Protection Bureau
Frequently asked questions
How often are the rates updated?
These rates are updated on a best-effort basis as new market data becomes available from reputable sources. The current figures are from Experian's Q1 2026 report, so they may not reflect the most recent market conditions. For real-time quotes, you should check with individual lenders.
Sources: ExperianDo these rates include fees?
The rates shown are annual percentage rates (APRs), which include the interest rate plus any lender fees that are part of the loan. However, they do not include other costs like taxes, title, or registration fees. Your actual APR may vary based on the lender's fee structure.
Sources: ExperianAre these rates guaranteed?
No. These are average rates based on specific data sources and time periods. They are not quotes or offers. Your actual rate will depend on your credit score, income, debt-to-income ratio, loan term, vehicle details, and the lender you choose. Many lenders offer rates both above and below these averages.
Sources: Experian, Consumer Financial Protection BureauWhere do the rate figures come from?
The rate figures come from Experian's State of the Automotive Finance Market report for Q1 2026, which analyzes loan data from major lenders across the country. Additional lender-type comparisons come from a Consumer Financial Protection Bureau Data Point report on subprime auto loans. These sources are noted alongside the tables.
Sources: Experian, Consumer Financial Protection BureauSources
- Average Car Loan Interest Rates by Credit Score - Experian — Experian
- Data Point: Subprime Auto Loan Outcomes by Lender Type — Consumer Financial Protection Bureau