---
id: faq-0007
title: "How does the interest rate (APR) get determined?"
category: faq
subtopic: financing
page_type: faq
source_url: "https://www.castlecdjrnaperville.com"
tags: ["financing", "apr", "interest-rate", "credit"]
questions:
  - "Why do different people get different rates?"
  - "What factors affect my APR?"
  - "How is interest calculated?"
related: [financing-options, credit-challenges]
dealer: Castle CDJR of Naperville
---

Your APR (annual percentage rate) reflects the cost of borrowing money. Lenders set rates based on several factors: your credit score and history, down payment amount, loan term, vehicle age and type, and current market conditions. Someone with excellent credit typically qualifies for a lower rate than someone rebuilding credit-that's just how lending works.

The good news: even if your starting rate isn't ideal, you can often refinance later once your credit improves. And our Finance Department works with multiple lenders, which increases your chances of a competitive offer.

To find out what rate you might qualify for, call (630) 864-6683. Our team will be transparent about current rates and help you understand your specific situation.