My first vehicle I refinanced from 5.9% to $4.0%.

When I financed my 2nd vehicle in 2k4, I got a 7.9% rate.

Is this normal for auto lenders bc of the risk assessment of having to make 2 loan payments? Or did this happen because of other credit obligations I have? Or was it a result of my score at the time which I'm sure was lower than when I purchased the first vehicle?

I have this feeling that every additional vehicle you finance has a rate default that is higher than the current rate you pay for.

Thanks guys.

Not always. Likely the DTI was putting you into the next tier.

That makes sense. I did have higher DTI.

Either to the approving lender you credit score was lower, or you scored lower on an internal scorecard resulting in a higher apr. Rates are higher now than they were a year ago anyway.

Yeah...I bought that vehicle in 2k4.....but I don't think the int rates were hovering around 7.9%. I had higher DTI and Im positive my cred score was a little lower.

you also got to remember rates have gone up almost 2 points in 2 years now.