Car interest rates may come down as the Fed drops rates

The benchmark rate is one factor affecting the cost of auto loan interest rates, but industry factors affect the cost, too. Both new and used vehicle prices have been climbing since production shortages in 2020. Costs were leveling out, but tariffs on vehicles, parts and raw materials are expected to raise vehicle prices again over the summer. Higher prices mean larger loans and higher interest rates.The increases can be attributed to the higher benchmark rate and more expensive vehicles. Stay up to date wi ...