Can you get car financing with bad credit?

Credit history can affect auto financing in the United States, but lenders may consider several parts of an applicant's financial situation.

Available terms can vary based on the lender, income, current debts, vehicle price and requested loan amount.

How can credit affect financing?

Your credit profile may influence the APR, interest rate, down payment requirement, loan amount and repayment term offered by a lender.

What else may lenders consider?

• Monthly income;
• Employment information;
• Current debt obligations;
• Credit history;
• Vehicle price;
• Requested loan amount;
• Loan term.

Can vehicle choice make a difference?

Yes. A lower-priced vehicle generally means less money needs to be financed.

Comparing different models, trims and vehicle categories can help buyers find options that better match their budget.

What cars can you compare?

U.S. buyers can explore new and pre-owned cars, crossovers, SUVs and pickup trucks.

Common options include the Toyota Corolla, Honda Civic, Hyundai Elantra, Nissan Sentra, Chevrolet Equinox and Ford Escape.

Can a down payment help?

Putting money down reduces the amount being financed and may change the structure of the loan.

Requirements and available terms vary by lender and applicant.

What should you compare between loans?

• Vehicle selling price;
• APR;
• Interest rate;
• Down payment;
• Amount financed;
• Monthly payment;
• Loan term;
• Total financing cost.

What documents may be requested?

• Government-issued identification;
• Proof of income;
• Proof of residence;
• Employment details;
• Auto insurance information.

What other costs should you consider?

In addition to the auto loan, buyers should account for insurance, fuel, registration, maintenance, repairs, tires and applicable toll or parking expenses.