Can I get a car loan as an older teen?

I'm 19-years-old, but I want to get a car loan. Is it possible to get a car loan at my age?

Answer
Since you’re 19-years-old, you can legally get a car loan. However, the ability to get a car loan is based on more than just age.
If you want to get a car loan, you also need to have a steady income to pay for the loan, a low debt-to-income ratio, and good credit. As a 19-year-old, you may not have enough credit history for lenders to approve your loan.
The good news is you still have other options. If you have a trusted family member, you could have them become your cosigner. A cosigner acts as a financially responsible party if you default or fail to pay your car loan. Again, this person must have a good income and excellent credit to be accepted as your cosigner. If you’re approved, you may be able to get a lower interest rate based on the cosigner’s credit rather than your own.
The final step is to shop around for car insurance, as this will likely be just as expensive as your car loan each month. To cut these costs and save yourself some cash, download the Jerry app. Sign up in minutes to compare dozens of quotes to get the best rate for your new car!
Eric Schad
Answered on Nov 03, 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.
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