How Santander Auto Loan Interest Rates Can Go Up For The Next 3 Years
The average monthly payment on Santander auto loans has increased from $3,974 last year to $5,945 this year, according to a new analysis by NerdWallet.
That increase is a significant increase from last year when auto loans averaged $3.83 per month.
The NerdWallet study also shows that interest rates for the next three years have risen by about 7% over the same period.
This year, the average monthly rate for new auto loans is $1,826, up by 9% over last year.
Rates have gone up for borrowers who borrowed from the same credit card company as their parent company.
This trend is not limited to just auto loans, either.
NerdWallet notes that interest on student loans is also increasing at a rapid pace.
In 2017, the median loan payment was $2,500.
Now, the typical student loan payment is $6,000.
That number has increased by 8% over 2017, with the average student loan paying $24,300 over the last three years.
This is also the case for home loans, which average $3 at this point.
Nerdwallet notes that there are a lot of things going on with student loans.
They can’t be treated as a retirement or health savings plan, and the interest rate is based on the average interest rate for a typical borrower.
They have to be paid back within a certain amount of time.
If borrowers take out more loans, their rates will likely increase.
However, the new data from NerdWallet also shows some positives.
They report that rates on loans to people who are older have decreased.
That is because borrowers are paying less and have less to lose if they have to pay down the debt sooner.
They also report that people who have been working for a while may be paying lower interest rates, and they also note that some of the more aggressive rates are coming out of states like California.
For more on student loan interest rates and the impact of the economic downturn, check out NerdWallet’s full report.
What are some of your biggest concerns about your auto loan interest rate?
Let us know in the comments.