What is APR On A Car Loan and What Is A Good Rate Right Now?

Written By: Jerry Reynolds | Jul 17, 2026 9:37:02 AM

Car Pro Show Host Jerry Reynolds: What is APR on a Car Loan and What Is A Good Rate Right Now?

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Q: What is APR on a car loan and what is a good rate right now?

A: APR stands for Annual Percentage Rate. It includes the interest rate and other fees, thus representing the true annual cost of your car loan. According to Edmunds, the average new-vehicle APR in June was 7%. Your credit score plays a major role in the APR you receive. Looking at the first quarter, according to Experian Automotive data shows the average APR for borrowers were an excellent Sub-Prime credit score was 4.55% and 16.01% for borrowers with credit score in the deep-subprime segment.

Photo: gopixa/Shutterstock.com.

Jerry Reynolds

From police officer to top-selling Ford dealer to on-air car expert, Jerry helms our weekly radio show. Since selling his dealerships in 2006, Jerry has pursued his top three passions: helping consumers have a great car buying experience, supporting the military and first responders, being a loyal servant to his dog! While Jerry admits to hitting the pedal to the metal on test drives, it's all the service of finding out just how fast he can go from 0 to 60.

Jerry Reynolds

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