You will get a better rate when applying for a car loan in Missouri if you have a credit score of 660 or above. It would be ideal to get a low interest rate for a loan term of 60 months or less.

Getting a car loan can be a long process, but the car insurance app, Jerry, has gathered all the important information you need to help you secure the best loan possible.

Below is important information on how to get a loan, how to compare different lenders, and how your credit score could affect your rates when getting a car loan in Missouri.

How to get a car loan in Missouri

The most straightforward way to purchase a car is to pay for the total in cash, all at once. However, this is not often ideal and most people would prefer to get a loan from a bank, credit union, or dealership. The benefit is that the buyer can drive the car right away while paying the lender back with small payments over time.

Here are the general steps to getting a car loan in Missouri:

Pay a down payment of 10% or more of the car’s value.
Negotiate and settle on the interest rate and loan term with the lender.
Pay the loan principal (the total amount to be paid back) over your loan term.
Pay a monthly interest, which is calculated by your annual percentage rate (APR).

What type of car you are purchasing, the loan term, and your credit score will determine the amount of loan you’ll be qualified for.

In the table below, you can see what your potential APR and monthly payments for a car loan in Missouri would look like.

Credit Rating

Car Make	Average Annual Interest Rate	Average Monthly Payment
ACURA	8.46	$361
ALFA ROMEO	8.53	$362
ASTON MARTIN	8.53	$362
AUDI	8.66	$363
BENTLEY	8.53	$362
BMW	9.17	$367
BUICK	8.56	$362
CADILLAC	8.86	$365
CHEVROLET	8.56	$362
CHRYSLER	8.89	$365
DODGE	8.69	$363
FERRARI	8.53	$362
FIAT	8.6	$362
FORD	8.56	$362
GENESIS	8.53	$362
GMC	8.49	$362
HONDA	8.32	$360
HYUNDAI	8.56	$362
INFINITI	8.69	$363
JEEP	8.32	$360
Jaguar	8.53	$362
KIA	8.79	$364
LAMBORGHINI	8.53	$362
LEXUS	8.49	$362
LINCOLN	8.66	$363
LOTUS	8.53	$362
Land Rover	8.53	$362
MERCEDES-BENZ	8.53	$362
MINI	8.53	$362
MITSUBISHI	8.69	$363
Maserati	8.53	$362
Mazda	8.53	$362
NISSAN	8.63	$363
POLESTAR	8.53	$362
PORSCHE	8.68	$363
RAM	8.56	$362
ROLLS-ROYCE	8.53	$362
Subaru	8.53	$362
TESLA	9.02	$366
TOYOTA	8.32	$360
VOLKSWAGEN	8.56	$362
VOLVO	8.36	$361

If you’re ready to get a car loan in Missouri, here are a few tips for you before you start.

Check your credit

Your credit score has a great impact on the interest rates you can get approved for, so checking it before getting a loan will help you set your budget. The average interest rate is around 5%, but you could be approved for a better interest rate if you have a score of 660 or higher. Some lenders will approve an interest rate of 3% or lower if you have a credit score that’s above average (around 700).

You can get an estimate of your average interest rate and monthly payment based on your credit rating using the table below.

Credit Rating

Loan Terms	Average Annual Interest Rate	Average Monthly Payment
24	11.63	$699
36	8.8	$471
48	8.25	$364
60	8.15	$301
72	8.51	$263

Compare lenders

It may be tempting to take the first offer you get so you can get the loan process started sooner; however, try to take some time to compare different offers so you can get the best loan possible.

You’ll want to compare offers from at least three lenders and weigh the pros and cons of each one. Getting a good rate is important, but also consider which lender will most likely approve your loan. Customer service is also something you should take note of since you will be interacting with them for your loan term.

Choose your loan term

The loan term is the length of time in which regular payments are made towards your loan balance—usually monthly. It can be negotiated with the lender so that the payments are within your budget. An average car loan term in Missouri can range from 60 to 72 months.

Although you can pay less per month if you have a longer loan term, you would also be paying more interest. In other words, the total cost of your car would increase. Ideally, you’ll want to get the shortest loan term that is within budget to reduce the total interest. Aiming for a loan term of 60 months or less is your best bet.

Refer to the table below to see how the loan term in Missouri can change your APR and monthly payment.

Credit Rating	Average Annual Interest Rate	Average Monthly Payment
Fair	16.92	$415
Good	8.42	$361
Very Good	5.11	$341
Excellent	3.89	$333

MORE: Should you get a 72-month car loan?

Get preapproved

Try to get preapproved for a car loan before you start shopping for a car. This way, you’ll know what your budget is and you’ll have a better idea of what prices to aim for. Being prepared means you’ll be more confident in negotiating for the best price for your car.

Can you get a car loan in Missouri for a used car?

Getting a car loan to finance a used car purchase is possible in Missouri. However, you could face some of the disadvantages and restrictions below:

There are usually higher interest rates, as high as 8%, for a used car loan.
Some lenders have a car age limit and could reject your loan for a car that’s too old.
Some lenders have a minimum loan requirement and your application could be rejected if the amount is too low. For smaller loans, you can try getting a loan from a credit union instead.

The age of the car you purchase can impact your car loan in Missouri, as seen below:

Car Make

Car Year	Average Annual Interest Rate	Average Monthly Payment
2021	7.73	$305
2020	8.14	$309
2019	8.28	$309
2018	8.11	$307
2017	8.31	$309
2016	8.47	$310
2015	8.67	$312
2014	8.64	$380
2013	8.71	$381
2012	9.7	$512
2011	9.7	$512
2010	9.7	$512

MORE: How to determine the retail value of your used car

Missouri car loan calculator

After you familiarize yourself with the car loan process, find the most advantageous loan term, and know what car you want to get, it’s time to see how everything will add up. Jerry’s car loan calculator can help you get a ball-park figure of your car loan payments in Missouri. The numbers will be based on the interest rates you can be approved for, the loan amount, the loan term, and the car model.

The values from the calculator are only averages. Keep in mind that the total amount can always be negotiated, including any additional fees or potential penalties. Each lender can offer a loan that is slightly different depending on the terms that are agreed upon. This tool is to give you an idea of what amounts to expect so you can negotiate a better loan.

Car Make

Credit Rating

Loan Terms

Loan Amount

Average Annual Interest Rate	Average Monthly Payment
8.59	$362

MORE: How to calculate total interest paid on a car loan

How to find affordable car insurance in Missouri

After the lender approves your loan application, it’s time to look for car insurance that meets Missouri’s minimum legal requirements. Getting additional coverage is advised to protect your new car. Rather than spending hours filling out long forms to get one quote, Jerry app makes it quick and easy to get multiple quotes.

Once you sign up, it’ll take a few seconds to answer some questions and Jerry will find all the quotes that fit your needs. Within 45 seconds, you can conveniently compare competitive quotes from 50+ insurance providers all in one place.

Switching policies is just as easy. Pick the policy you want and Jerry will do the paperwork—including helping with canceling your old insurance.

The average Jerry user has successfully found $887 in savings on car insurance every year.

“Jerry got me out of a bind! I bought a new car, and my existing insurance raised my prices and didn’t budge. Thankfully, Jerry got me an affordable rate without me waiting for phone calls all day.” —Felicia M.

FAQs

What credit score is needed to buy a car in Missouri?

A credit score of 660 or above will be needed to get approved for a loan with a good interest rate in Missouri. However, there are lenders who will approve a loan even if your credit score is lower than the requirement (the interest rate may be higher).

Will a bank give me a loan for a used car?

Most banks have a minimum loan requirement, so a loan that doesn’t meet the minimum may not be approved. If you only need a small loan, it may be better to approach a credit union instead.