Can I get a 7-year car loan?

I want to get a car loan and my friend told me 48 months was the best length. But after looking at loan rates and payments, a longer loan would work better for me. Can you get a 7-year car loan?

Answer
Good question! If you have the credit and income, you can certainly take out a 7-year car loan. Also known as an 84-month car loan, this length has become more popular in recent years with just over 18% of American borrowers getting an 84-month car loan.
An 84-month car loan can offer lower payments and greater financial flexibility due to the lower payments, but you also have to remain vigilant about the downsides of such a loan, which include:
  • Paying significantly more interest
  • Paying far more than the car is worth or owe more than the car is worth, which is known as being upside down
  • Your warranty possibly running out on a car that you still owe on, meaning you have to pay for every repair out of pocket
  • Car fatigue, which is when you get tired of your car and want a new one
  • Keeping full coverage car insurance on a car for seven years
The choice is up to you. So if you plan on moving ahead with an 84-month car loan, make sure that you at least save money on your full coverage car insurance. Download the highly-rated Jerry app to easily compare customized rates on full coverage from over 50 insurers to get the best price—and once you pick a plan, we’ll even help you switch.
Best of luck with the loan!
Eric Schad
Answered on Dec 14, 2021
Eric Schad has been a freelance writer for nearly a decade, as well as an SEO specialist and editor for the past five years. Before getting behind the keyboard, he worked in the finance and music industries (the perfect combo). With a wide array of professional and personal experiences, he’s developed a knack for tone and branding across many different verticals. Away from the computer, Schad is a blues guitar shredder, crazed sports fan, and always down for a spontaneous trip anywhere around the globe.
thumb-up

Did this answer help you?

Ask us a question by email and we will respond within a few days.
thumb-up

Have a different question?

You can meet us at our office and discuss the details of your question.
Let Jerry’s experts help you find savings on your car insurance!
No long forms or spam · Get quotes from 40+ carriers
Find insurance savings (100% Free)
rating primary
4.7/5 Rating on App Store