If you’re searching for a car loan in Virginia, you’re going to want to make sure you have a credit score of 660 or higher, and be sure to seek out a low interest rate and a loan with a term no longer than 60 months.

The car insurance and comparison shopping app Jerry can help you find the car loan that is right for you in Virginia.

We’ll guide you through the process of finding a loan and comparing lenders and explain how your credit score can affect the loan you’ll be able to secure in the Old Dominion.

How to get a car loan in Virginia

Unless you’ve got cash bulging out of your pockets, a car loan is the most traditional and the easiest way to buy a vehicle in Virginia. Seeking out a loan from a bank, a credit union, or the dealership you’re buying the vehicle from can help you pay off the full value of the car over a period of years.

Here’s what to expect when you take out a car loan in Virginia:

You’ll pay a down payment (usually about 10% of the car’s total value)
You’ll finalize a loan term (how long your loan will last) and negotiate an interest rate with your lender
You’ll have to pay off the loan’s principal (the total amount of money you’ll need to pay back) in monthly installments over the loan’s lifetime
You’ll have to pay interest on a monthly basis based on your annual percentage rate (APR)

The exact details of the loan you’re able to secure will depend on a few factors, namely, the make and model of the car you buy, your credit score, and the loan term you negotiate. Take a look at the table below to see what your APR and monthly payment might look like with a car loan in Virginia:

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

Are you ready to find a car loan in Virginia? Here’s what you’ll need to do to make that happen:

Check your credit

First things first—check your credit score. You want a score of at least 660 or better to qualify for a loan with a favorable interest rate. An above-average score (700 or better) will get you an even better interest rate, around 3%. By comparison, the average interest rate on a typical car loan in the U.S. is about 5%.

Use the table below to estimate your average interest rate and monthly payment based on your credit rating.

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

Don’t jump at the first loan offered to you. It’s a good idea to look around and see what’s on offer. If the dealership you’re shopping in offers you a loan, feel free to listen but don’t sign anything—you could be signing up for a loan that is very favorable to the dealer but not favorable to you.

Instead, compare offers from at least three lenders before deciding which one to take. Try to sign with a lender offering a good (low) interest rate, and look into your approval odds with that lender, as well as their customer service record.

Choose your loan term

A loan’s term, or the period of time you have to pay it back, is negotiable. In Virginia, the average loan term is between 60 and 72 months.

As a general rule of thumb, the longer your loan term is, you’ll pay less in monthly installments, but the higher interest payments you’ll make over the lifetime of the loan will make the loan more expensive. You’ll want to secure a loan for the shortest possible time within your financial comfort zone, ideally not more than 60 months.

Here’s how your APR and monthly payment could change based on your loan term in Virginia.

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

If possible, get preapproved for a car loan. Having a preapproved loan in your back pocket gives you leverage when walking into a dealership, or if you’re about to negotiate a private transaction. Knowing that you are already preapproved, with an interest rate and loan term you are comfortable with, can make for a stress-free shopping experience.

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

Yes, you can get a car loan for a used car in Virginia. However, you’ll want to keep a few things in mind when seeking that loan out:

You’ll likely pay a higher interest rate on a loan for a used car (usually around 8%)
Some lenders won’t give out loans for vehicles that are older than a set number of years
A lot of banks have minimums for car loans. If a bank won’t lend you what you need, look into a loan from a credit union

Want to see how the age of your car could affect your car loan in Virginia? Take a look at this table.

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

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Virginia car loan calculator

Now you’re up to speed about how a car loan works, how to pick your loan’s term, and how the type of car you’re buying factors into your loan. Now it’s time to add it all up with Jerry’s car loan calculator to determine how much you should expect to pay for a loan in Virginia and what your interest rate might be based on your credit score, loan amount, term, and the make and model of the car you’re buying.

Remember—these values are averages. When you meet with your lender to work out the details of your loan, the term and interest rate are negotiable, as well as any additional fees or penalties. Use this calculator to ensure success when you sign your loan.

Car Make

Credit Rating

Loan Terms

Loan Amount

Average Annual Interest Rate	Average Monthly Payment
8.59	$362

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How to find affordable car insurance in Virginia

Financing your vehicle is the just first step—after you do that, you’ll need a robust car insurance plan to protect your new ride!

With the car insurance broker and comparison shopping app Jerry, it’s never been easier to get a car insurance policy that works for you. After signing up in just 45 seconds, this car super app gets to work comparing more than 50 top quotes from the country’s best insurers for you to pick from. Once you make your choice, Jerry signs you up for your new policy and cancels your old one.

Best of all, Jerry users save an average of $887 per year on car insurance!

“Jerry saved me so much time and money! I went from $230 to $150, still with full coverage! The whole process was amazingly simple!” —Ronda S.

FAQs

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

To enjoy a favorable interest rate, you’ll need a credit score of 660 or higher when seeking out a car loan in Virginia. If your credit rating is above 700, you’ll likely qualify for a very low rate of about 3%, compared to the average of 5% nationwide.

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

This all depends on the bank. Some banks will give you a loan for a used car, but many set limits regarding a car’s age in terms of whether they will loan money for you to buy it. If a bank won’t loan you the money to buy a used car, consider going to a credit union for a loan.