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flag Washington drivers face higher car costs due to taxes, fees, and rising interest rates, with loan delinquencies rising despite relatively low average rates.

flag Car buyers in Washington State are experiencing higher costs due to added sales and use taxes, elevated registration fees—particularly for electric vehicles—and capped dealer documentation fees of $200. flag Auto loan interest rates rose 2.02% from Q1 to Q2 2025, the third-highest increase in the U.S., though the average rate of 9.46% remains the 12th lowest nationally. flag Despite this, Washington ranks seventh in the country for auto loan delinquencies. flag Individual credit scores, down payment size, and loan term length significantly impact actual interest rates, prompting buyers to shop carefully for the best loan terms to avoid overpaying.

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