An auto loan is a loan that allows you to buy a desired four wheeler, and pay the vehicle off in equated monthly installments for a set tenure instead of having to pay the full price upfront. The terms of an auto loan depend on various factors, including your income and credit history.The interest rate fixed on a car loan is subject to several factors. It will vary for each borrower based on their credit profile and income. Generally, the interest rate on a car loan ranges between 8% to 17%. If you are looking for a car loan with a particular lender, you must analyse the following factors as they have significant influence on your borrowing and interest rate.