Auto Loans in Lafayette (CA)

If you’re interested in a new car, there’s a good chance you will need an auto loan to get yourself in the driver’s seat of the car you want. Rather than waiting until you are in a high-pressure situation at the dealership, we allow you to get approved for a car loan in advance. In most cases, we can position our customers with an appropriate dealer or lender even if they have credit problems stemming from bankruptcy or repossession.

New versus Used Car Loans in Lafayette

Through our extensive network of dealers and lenders, both new and used car loans are available. Have you decided which is right for you? Buying a new car is sometimes easier than buying a used one, as you don’t have to concern yourself with how the previous owner drove it. However, don’t forget that a lot of special APR promotions advertised on TV are on approved credit, which means that only the highest-rated consumers meet the requirements. If you’re undecided, an automotive finance specialist will help you decide if a new our used vehicle is the right choice.

Auto Loans for Used Cars in Lafayette

If you’d like to minimize negative equity, finance a preowned car. Since preowned cars and trucks are a lot less expensive, you will probably have less total interest, even if you’ve got a more expensive rate. If you are upside down on a used vehicle, it typically won’t be for as long. More often than not, a used car is a better investment.

Lafayette Bad Credit Car Loans

Old fashioned lenders like banks and credit unions usually fund loans only for people with scores of 700 or better. Clearly, you don’t want to waste time trying to find a dealer or finance company in Lafayette that will work with subprime borrowers. When you submit your application through Golden West Auto Finance, our team works to match you with a lender or dealer within driving distance who wants to approve your credit.

Car Dealers in Lafayette That Accept Bad Credit

At a bad credit dealership in Lafayette or anywhere, your dealer will have a conversation with you about financing right off the bat.

If you apply through us, you can arrange your financing on the phone, then pick a date for you to sign and drive. Avoid being lured into getting a vehicle that costs more than you anticipated. You’ll be at a higher risk of default, which would only do more harm to your credit..

Lafayette Buy Here Pay Here Car Lots

When you’ve got experienced bankruptcy or repossession, buy here pay here financing might possibly appear to be the only option. Yes, they rarely check your credit, meaning bad credit shouldn’t be a barrier to approval, but odds are you will pay more than you think for this service. Issues include:

  • Extortionate Rates of Interest
  • Huge Down Payments
  • Overpriced Cars and Trucks
  • Aggressive Repossession Tactics

Even worse, these dealerships don’t report back to the credit bureaus, which means you could make every single payment on time without any boost to your credit score.

Loan Pre-approvals for Lafayette Consumers

Take a look at what size loan you’ll be qualified to borrow given several types credit. As an example, have a look at these numbers for the average Lafayette consumer who has a monthly income of $6,914.

Credit History Income Factor Sum
Good Credit 10 $69,140
Decent Credit 9 $62,226
Subprime Credit 8 $55,312
Bad Credit 7 $48,398
Horrible Credit 6 $41,484

But don’t forget: there’s how much you’re able to finance, and the amount is wise. In general, the recommended car loan incorporates a down payment of 20%, car payment of 5-8% of monthly income, and term length of 5 years or less. Given an income of $6,914 monthly, let’s take a look at what price car you could buy given your credit.

Prime Credit Decent Credit Bad Credit
Monthly Installment $553 $553 $553
Loan Rate 3.50% 7.00% 11.00%
Years 5 5 5
Vehicle Price $38,006 $34,917 $31,800
Down Payment $7,601 $6,983 $6,360
Borrowed Funds $30,405 $27,934 $25,440
Interest Paid $2,782 $5,254 $7,748
Total with Interest $40,788 $40,171 $39,547