Where can I get a good car loan?

I’d like to get a car loan, but I’m struggling to find a good offer from a lender—probably because I have a bad credit score. Where should I go to get a good car loan?

Answer
It can be tricky to find a good car loan, especially if you have less-than-stellar credit. Banks and dealers won’t usually take on risks in their lending, so you’ll be unlikely to find good terms with them. Luckily, you still have a good chance of getting a good car loan from credit unions or third-party lenders.
Credit unions are nonprofit organizations that typically offer relatively good terms and low interest rates. That said, you’ll need a membership before you can join. While requirements for membership vary between locations, you’ll usually be eligible if at least one of these applies to you:
  • Live in the specific area they serve
  • Work for specifically outlined entities
  • Have a family member in the credit union
  • Are an active member of a labor union
Alternatively, you could find a good car loan from a third-party lender. While independent lenders usually offer unreasonable terms and high interest rates to borrowers with bad credit, you can often secure a better deal by:
  • Finding a cosigner with good credit
  • Making a large down payment
  • Comparing quotes from multiple lenders before settling
While banks and dealerships can be great resources for financing cars, they’re also a bit more inflexible when it comes to lenders with bad credit. If you can’t find a loan with reasonable terms—try not to worry! There are plenty of ways to offset the price, like saving on car insurance with the number-one-rated car insurance app, Jerry.
A licensed broker, the Jerry app helps users save an average of $879 a year on car insurance. Just download the app, answer a handful of questions, and Jerry will help you compare personalized quotes from over 50 top providers, like Allstate and Nationwide, for free.
Joshua Levy
Answered on Dec 08, 2021
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

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