If you’re on the hunt for a car loan in Washington, you should have a credit rating of 660 or higher, and be sure to seek out a low interest rate and a loan term preferably no longer than 60 months.

The car insurance and comparison shopping app Jerry can help you land the car loan in Washington that fits your budget.

We’ll take you through the process of finding that elusive loan, comparing lenders, and explaining how your credit score factors into your car loan search in the Evergreen State.

How to get a car loan in Washington

For most of us, securing a car loan is the most traditional—not to mention the easiest way—to buy a car in Washington. With a loan secured from a bank, a credit union, or the dealership, you’ll be able to pay back the full value of the car within the timeframe set out in the loan.

Here’s what you should expect when taking out a car loan in Washington:

You’ll need to fork over a down payment (usually this is about 10% of the car’s total value)
Settle on a loan term (how long the loan will run) and bargain over an interest rate with your lender
Pay off the loan’s principal (the total amount you’ll have to pay back) in monthly installments over the course of the loan
Of course, you’ll have to pay monthly interest on your annual percentage rate (APR)

The exact parameters of the loan you’ll be able to secure will depend on a few things, namely, the make and model of the vehicle you’re buying, your credit score, and the loan’s term. Have a gander at the table below to get an idea of what your APR and monthly interest rate might look like in Washington:

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 Washington? Here’s what you’ll need to do to make that happen:

Check your credit

Before you start hunting for a car loan, check your credit—you’ll want a score of at least 660 or higher in order to qualify for a good interest rate. If you have an above-average credit rate of 700 or better, you are in luck—you might qualify for an even better interest rate of around 3%. In comparison, the typical interest rate for the average car loan in the U.S. is 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

When you’re looking for a loan lender, don’t say yes to the first friendly face you meet. Say, for example, the dealership you’re shopping at offers you a loan right then and there. You might be tempted to say yes and get the whole process over with, but it wouldn’t be smart to do that.

It’s very likely that signing a car loan agreement strictly on a dealer’s terms will be great for the dealer—and not as great for you.

Instead, shop around and compare offers from at least three different lenders. You want the best deal possible for you, so take your time and look for a lender willing to give you a loan at a low interest rate. Also, look into your approval odds with any potential lenders, as well as any customer service reviews.

Choose your loan term

A car loan’s term, or the amount of time the loan covers, is negotiable. In Washington, the average car loan runs for between 60 and 72 months.

Keep this in mind—while a longer loan term might be enticing because you’ll pay lower monthly payments, do know that you’ll pay higher interest rates over a longer loan term, making the loan more expensive in the long run.

If possible, always search for the shortest loan term you can get, so long as the monthly payments that come along with it fit into your budget. Ideally, you want your loan term to be no longer than 60 months.

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

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 you can, get preapproved for a car loan. Why? Because walking into a car dealership with a preapproved loan in your back pocket gives you a lot of negotiating leverage.

If a dealer offers you a loan, feel free to listen. They might not offer you much, but they just might offer you a car loan deal that’s comparable to your preapproved loan. If the dealer is willing to give you a better deal than the preapproved loan you’ve already got, you might just have found yourself a steal of a deal.

Don’t like what the dealer has to say? Just remember that you’ve got a preapproved loan already, with an interest rate and term length you are already comfortable with. Nothing ventured, nothing gained.

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

Yes, you can get a car loan for a used vehicle in Washington. However, you’ll need to know a few things about used car loans before shaking down every potential lender for deals:

You’ll likely pay a higher interest rate on a used car loan (typically about 8%)
Some lenders will not offer loans for vehicles above a certain age
Many banks have minimum amounts for loans—if your loan request doesn’t meet a certain dollar amount, you’ll be turned away—if this happens, you might have better luck getting a used car loan from a credit union

Want to see how the age of your car could affect your car loan in Washington? 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

MORE: Washington car insurance

Washington car loan calculator

Now (finally), you’re an expert in how a car loan works, how to compare lenders, how to negotiate a loan term that works for you, and how the make and model of the car you’re buying factors into the loan you’ll get.

Add everything up with Jerry’s car loan calculator to figure out how much you should expect to pay for a loan in Washington and what your interest rate is likely to be based on your credit score, loan amount, loan term, and the type of car you’re buying.

Of course, remember that these are averages. When you’re working out your loan agreement with your lender, don’t forget that your interest rate and term length are open for bargaining, as are any additional fees and penalties. You have some control over your fate (don’t forget that), so use this calculator to land the best car loan for you and your budget:

Car Make

Credit Rating

Loan Terms

Loan Amount

Average Annual Interest Rate	Average Monthly Payment
8.59	$362

MORE: Washington electric vehicle incentives

How to find affordable car insurance in Washington

Once you get the financing you need for your new car, you’ll need insurance to protect that sweet ride!

Lucky for you, getting a great car insurance policy for a bargain-basement price has never been easier by using Jerry, the internet’s premier car insurance broker and comparison shopping app.

Sign-up takes just under a minute, and then Jerry gets to work comparing more than 50 top quotes from the country’s best insurers for you to choose from. Once you make your pick, Jerry does the rest, including signing you up for your new policy and helping you cancel your old one. And Jerry will automatically search for better rates for you before each and every renewal period.

Best of all? Jerry users save an average of $887 every year on car insurance!

“I can’t thank the Jerry app enough! They saved me $160 a month, and I didn’t even have to talk over the phone. They took care of everything through text.” —Travis Y.

FAQs

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

Ideally, you’ll want to have a credit score of 660 or higher to land a car loan with a favorable (low) interest rate. If your credit rating is 700 or higher, you’ll likely qualify for a very low (this means very good) interest rate of about 3%.

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

Possibly, though some banks won’t offer car loans for amounts lower than a certain number. Also, some banks won’t lend money for vehicles older than a certain age. If you strike out with your bank, try a credit union—they are often more willing to offer smaller car loans for used car purchases.