How can I get a car loan as a 21-year-old?

"I want to get a car to be able to get out of the city at my leisure. The car I'm looking at is about $10,000. Because of my age, my credit score is only 660.

How can I get a car loan as a 21-year-old?"

Answer
“Because you’re young, and your credit score is below average, you might have a tough time finding a loan.
To exacerbate the problem, $10,000 means you’re probably buying a used car, which can also increase your rate.
Your best bet is to start at a credit union—these organizations can offer lower rates because they’re nonprofit.
There’s no telling what your interest rate will be until you apply. However, try to find a loan for 60 months or less. Any length longer than that, and you could end up upside-down (meaning your loan balance will be higher than the car’s value).”
avatar
Eric Schad
Answered on Jun 07, 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.

Read advice from car experts at Jerry

Easiest way to compare and buy car insurance

√
No long forms
√
No spam or unwanted phone calls
√
Quotes from top insurance companies
Find insurance savings — it's 100% free