Auto Loans in Torrance (CA)

If you need to finance a car in Torrance, you need a loan provider you can rely on. Instead of waiting until you are in the dealer’s finance office, we enable you to apply for financing ahead of time. We put you in touch with a financing professional whose primary objective is to get you approved for the car you want.

Auto Loans in Torrance for New Vehicles

We take pride in helping people with both used and new cars and trucks. New cars lose value almost immediately, so you’re more likely to wind up upside down on your loan. In order to keep your loan amount in line with the value of your vehicle, lenders normally require at least twice the money down on a new vehicle versus a used one. Then again, interest rates for new cars are lower, and if you have good credit, you may be eligible for a zero down auto loan. If you’re unsure, speaking with an automotive finance professional could help you decide if a new our used vehicle would fit you best.

Financing a Preowned Car in Torrance

Pre-owned cars and trucks offer many advantages. The interest rates for preowned cars are slightly more expensive, but this expense is counterbalanced by lower sticker prices and rates of depreciation. Lending companies have limits when it comes to mileage and model year, however. Vehicle must have not more than 100,000 miles and not be over 7 years old. To help you determine whether a new or used car would fit you best, review this helpful chart. This assumes a car or truck three years old, having lost one half of its value, and a borrower with a credit score of 690 to 720.

New Car Used Car
Price $21,680 $10,840
Down Payment $4,336 $1,084
Loan Rate 5.00% 7.50%
Years 5 4
Monthly Payment $327.30 $235.89
Interest $2,294 $1,567
Total Paid $23,974 $12,407

Considerations for People in Torrance with Bad Credit

Poor credit does have some drawbacks, which generally include:

  • Inflated interest rates.
  • Greater down payments.
  • Shorter finance terms.

Naturally, you don’t want to spend your time looking for a bank or finance company in Torrance that will work with lower credit scores. This is where we come into play. At Golden West Auto Finance, we serve people on every end of the credit spectrum, helping them secure the loans they need.

Looking for a car with reasonably priced monthly installments is very important, , especially if you will have a high interest rate thanks to bad credit. If you apply through us, you can set up your finance contract beforehand, then set up an appointment to visit the dealership and buy the vehicle you want. No matter your credit, there should be a vehicle you can afford. You’d be smart to find a vehicle with a payment that is approximately 5 to 10% of your monthly income. If you make $2,168 per month, this would be a payment of $108 (5%) to $217 (10%).

Torrance Buy Here Pay Here Car Lots

When you’ve got experienced bankruptcy or repossession, buy here pay here financing could very well appear to be a smart move. These types of dealers offer car loans directly, as opposed to traditional dealerships which farm this out to one of their affiliated lenders, and they typically don’t turn anyone down.

Problems with sort of financing include excessively high interest charges and down payments, as well as steeply-priced vehicles with GPS tracking devices to aid in repossession And if that weren’t a problem, these car lots very rarely work with the credit agencies, and that means you could make every single payment punctually without a boost to your FICO score.

Torrance Consumer Profile

  • Income Per Annum: $26,016
  • Monthly Income: $2,168
  • Typical Car Payment: $238
  • Optimal Car Payment: $108 to $217 (5-10% of monthly income)

Torrance Auto Loans Based on FICO Score

Have you wondered how much car you can afford? Check the numbers below. The interest rates have been approximated, and the amounts are derived from $26,016 in annual income, the Torrance average. Repayment term is 60 months.

Good Credit Average Credit Bad Credit
Car Payment $173 $173 $173
APR 3.50% 7.00% 11.00%
Vehicle Price $11,917 $10,949 $9,971
Money Down $2,383 $2,190 $1,994
Total Interest $872 $1,647 $2,429