What is a good credit score for car loan approval?

I want to finance a car, but I'm worried about my credit score. What's a good credit score to qualify for approval?

Answer
To get a decent car loan rate, your credit score should be between 600 and 660 at a minimum. However, your acceptance will vary depending on the lender. Some lenders may offer you options at this level while others may turn you down.
If your credit score is above 660, you should find a loan with a decent interest rate. Most lenders consider a score above 660 to be a prime credit score. A score of over 780 will be considered super-prime, and you’ll score an even better rate.
You may have options if your credit score is below 600, but you’ll need to keep a watchful eye over the interest rate and length of your loan. Some lenders will see you as an opportunity to make money and offer you low payments under the guise of a lengthy loan at a high-interest rate. This could be loan sharking would be a predatory loan situation.
Always read the loan contract and never sign one that has an interest rate in the double digits. This will ensure that you don’t go upside down on the loan and help save you money. In addition, always shop around for rates to make sure you get the best price.
Want to save even more of your hard-earned cash? Use the Jerry app to shop for insurance and find the best rate for your needs. Although it isn’t exactly a glamorous way to spend the extra cash, you can put your savings toward your car loan and pay it off even faster.
Eric Schad
Answered on Nov 11, 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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