Published October 13, 2026
Take a $30,000 new-car loan over 60 months. A super-prime borrower at 4.41% pays about $558 a month and $3,484 in total interest. A deep-subprime borrower at 16.11% pays about $731 a month and $13,878 in interest. Same car, same term, same lender market. The credit score gap costs $10,394, which is more than a third of the car's price, paid to nobody for nothing. Carry that number into the dealership. Here is the full 2026 table it came from.
Experian publishes average auto loan rates by credit tier every quarter in its State of the Automotive Finance Market report. The Q2 2026 numbers, based on VantageScore 4.0, put the overall average at 6.35% for new cars and 11.19% for used cars. The tier-by-tier breakdown:
| Credit tier (VantageScore) | New car APR | Used car APR |
|---|---|---|
| Super prime (781-850) | 4.41% | 6.29% |
| Prime (661-780) | 6.15% | 8.81% |
| Near prime (601-660) | 9.71% | 13.93% |
| Subprime (501-600) | 13.52% | 19.10% |
| Deep subprime (300-500) | 16.11% | 21.62% |
A few things jump out. First, the average new-car borrower scores 751, squarely in the prime tier at 6.15%. If your score is anywhere near that, you are the market, and any offer far above 6% on a new car deserves a second quote. Second, used-car rates run 2 to 5 points higher in every tier, because lenders see older collateral as riskier. Third, the jump from prime to near-prime is the cliff: crossing below 661 nearly doubles the rate. That boundary matters more than any other line in the table.
The monthly payment table makes the cost concrete. Same $30,000, same 60 months:
| Rate | Monthly payment | Total interest |
|---|---|---|
| 4.41% | $558 | $3,484 |
| 6.15% | $582 | $4,995 |
| 9.71% | $633 | $7,988 |
| 13.52% | $691 | $11,436 |
| 16.11% | $731 | $13,878 |
Notice the monthly payments compress while the interest explodes. The deep-subprime borrower pays only $173 more per month than the super-prime borrower but $10,394 more overall. Monthly payment is the number dealers want you to focus on. Total interest is the number that decides whether the car was affordable.
What to do with your tier
If you are super-prime or prime, the main risk is not your rate, it is the term. A good rate on a 72 or 84 month loan still buries you in interest and keeps you underwater on the car for years. If you are near-prime, the move with the biggest payoff in car buying might be waiting: moving from 640 to 670 crosses the cliff and can cut the rate nearly in half. If you are subprime or below, get preapproved before you visit a dealer, because dealer-arranged financing at those tiers is where the worst markups hide, and compare the APR, not the monthly payment. Rate shopping with multiple lenders inside a 14-day window counts as a single inquiry for scoring purposes, so there is no reason not to.
My honest take: people treat the interest rate as weather, something that happens to them. It is closer to a negotiation where your credit score is the opening bid. The table above is what the market actually charges, which means any offer that does not line up with your tier is either a bad deal or a signal to keep shopping.
Frequently asked questions
What is the average car loan interest rate by credit score in 2026?
Per Experian Q2 2026: super-prime 4.41% new / 6.29% used, prime 6.15% / 8.81%, near-prime 9.71% / 13.93%, subprime 13.52% / 19.10%, deep subprime 16.11% / 21.62%. Overall averages are 6.35% new and 11.19% used.
What credit score gets the best car loan rate?
781 and above, the super-prime tier: 4.41% on new cars, 6.29% on used. The average new-car borrower scores 751, which lands in the prime tier at 6.15%.
How much more does a bad credit score cost on a car loan?
On a $30,000 new-car loan over 60 months, super-prime at 4.41% costs about $3,484 in total interest versus about $13,878 at deep-subprime 16.11%. The gap is roughly $10,400 on the same car.
Are used car loan rates higher than new car rates?
Yes, in every credit tier, by 2 to 5 points. Lenders charge more because used cars are weaker collateral that depreciates faster.
See what monthly payment your budget actually supports.