What is the Average Car Payment in Hawaii?

The average car payment in Hawaii is $684.26 per month. This figure reflects the typical monthly expenditure for car loans in the state.

Average Monthly Car Payments by State

Car payment averages can vary significantly by state due to factors such as local vehicle pricing, interest rates, and consumer financial profiles. Below is a comparison of average monthly car payments in Hawaii and a few other states:

Note: The APR (Annual Percentage Rate) listed is for used cars, which often have higher rates than new cars.

Factors Influencing Your Car Payment

Several elements contribute to the size of a monthly car payment. Understanding these factors can help consumers anticipate costs and manage their budgets:

• Vehicle Price: The total cost of the car is the primary determinant. More expensive vehicles naturally lead to higher payments.
• Loan Term: The length of the loan significantly impacts the monthly payment. A longer loan term generally results in lower monthly payments but can mean paying more interest over the life of the loan.
• Interest Rate (APR): The Annual Percentage Rate directly affects the amount of interest you pay. A higher APR means more interest and, consequently, a higher monthly payment. Factors influencing your APR include:
  • Credit Score: Borrowers with excellent credit scores typically qualify for lower interest rates.
  • New vs. Used Car: Used cars often come with higher interest rates compared to new cars due to perceived higher risk.
  • Loan Provider: Different lenders offer varying rates, so it's wise to shop around.
• Down Payment: A larger down payment reduces the principal amount financed, leading to lower monthly payments.
• Trade-in Value: If you trade in an old vehicle, its value can act like a down payment, reducing the amount you need to finance.

For more detailed information on car loan balances across states, you can refer to States With The Highest Car Loan Balances.