If you're in the market for a new car or truck, money experts say now may be the time to buy.

Right now, the federal interest rate is sitting at 2.25%. And one expert says that's leading to some record-low rate for car loans.

"We're seeing an up-kick in car loans," said Jon Hehli with Royal Credit Union. "I think people are realizing that the manufacturers are being very aggressive on their pricing. And you combine that aggressive pricing on the dealer end with the aggressive pricing that we have on our loan rates, it's just a great time to buy a car."

The owner of Ken Vance Motors, Inc. in Eau Claire says thanks to the lower rates, more care is driving off his lot.

"And it isn't just new cars because used cars, we have rates as low as 4.65% for used vehicles," said Ken Vance. "So, there's a lot more used vehicles than there are new."

And Vance says that's a welcome sight for his customers.

"Many people are surprised because of the fact that we're very recently had double digit interest rates," Vance said.

But, it's not just cars. A sales associate at FS Appliance TV Audio in Eau Claire says the low interest rates are helping his customers as well.

"It is easier to get financing," said Mike Johnson. "That is the biggest thing. I think now lenders are willing to invest a little more time and money into letting people borrow more money."

Hehli says he anticipates the Federal Reserve will again lower interest rates by .5% on April 30th. After that, he expects another .25% drop.

But, he says fears of inflation could keep the Reserve from lowering the rate any further.

Sources:-http://www.weau.com/news/