GettyWhen you consider that the airline industry made it easy to compare options decades ago, it is shocking how antiquated the auto financing experience still is. Auto financing has somehow managed to evade many of the technological advances seen elsewhere. Most auto lenders claim to base rates and terms on the credit profiles of borrowers. They found the average borrower paid an interest rate that was 1.3 percentage points higher than the best rate available. Another problem is that many consumers don’t understand the effect of auto financing on the total cost of buying a car.

Source: Forbes January 27, 2020 12:45 UTC