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For a lot of consumers, getting financed is the main stumbling block to purchasing the car they really want. Unfortunately, obtaining financing can be a considerable struggle, especially if your credit isn’t great. Fortunately, you can apply online, saving yourself a lot of time and effort. A local California auto loan consultant can help you get approved for your car loan, answering your questions along the way.

Auto Loan Rates in California

These interest rates are only for informational purposes. They’re not advertisements. Your precise rate of interest will be determined by a number of variables, such as loan company, down payment, average income, length and type of loan, and much more.

Credit Rating New Car Pre-owned Car
Excellent 3.2% 3.7%
Good 4.6% 5.7%
Average 6.5% 8.5%
Subprime 9.4% 10.8%
Bad 14.1% 16.5%
Very Bad 15.6% 18.4%

Used Car Financing in California

Yes, the rates of interest for a used car are more expensive than the rates for a new one. On the other hand, new vehicles depreciate so quickly, second hand cars are generally the better value. Consider the chart below, which displays the costs associated with auto loans for new versus used vehicles.

Age Price Rate Months Payment Interest Total Cost
New $28,750 6.00% 60 $555.82 $4,599 $33,349
1 Year $23,000 7.50% 60 $460.87 $4,652 $27,652
2 Years $19,550 7.50% 60 $391.74 $3,955 $23,505
3 Years $16,618 7.50% 60 $332.98 $3,361 $19,979

For most folks, a used car is a better option. Here are the typical limitations on used car loans:

  • Vehicle no older than 7-10 years.
  • Mileage no greater than 100,000 miles.
  • Bought from dealer, not private party.

Bad Credit Car Loans in California

Your credit history is of utmost importance when financing a car. Fundamentally, your credit score is used a measure of risk. Fortunately, there are many banks and lenders who are experts in subprime lending scenarios.

In California, buy here pay here car dealers end up serving consumers in the lower credit levels The annual percentage rates are very high, and the cars and trucks are sometimes price over market value. You will be happier with a car loan from a traditional bank, credit union, or loan company. There are many benefits: cheaper rates of interest, significantly better service. Not to mention, if you make your payments on time, an increased credit score.

Go here to apply online.

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