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If you are in the market for a car, used or new, you may well need a car loan to complete your purchase. For people with outstanding credit, this is a simple process. When you have unfavorable credit ratings, however, it can be an absolute nightmare. We can help you secure financing today, at an economical interest rate, even when your credit isn’t perfect.

This is especially useful for individuals who’ve got less-than-perfect credit, as a variety of dealers will consider your credit, a number of of which are experts in bad credit lending scenarios.

Auto Loan Rates in Petersburg

Most lenders only show you the most affordable rate available, which is only available to people with the highest FICO scores. Truth be told, your rate of interest can vary hugely based on your credit score, among a range of other factors. The rates shown below are only for informational purposes. These are not advertisements, and your exact rate could deviate widely from what you see below.

Credit Score New Car Pre-owned Car
Excellent 3.3% 3.5%
Good 4.7% 4.8%
Average 6.9% 7.3%
Subprime 9.8% 10.5%
Bad 13.3% 14.4%
Very Bad 13.8% 15.5%

Used Auto Loans in Petersburg

The rates of interest are greater when financing pre-owned cars, because they present a slightly greater risk of maintenance complications. That said, to put yourself in the strongest financial position, you’ll go with a pre-owned car. Here, we look at the cost of a loan for a car that is new versus 1-3 old.

Age Price Rate Months Payment Interest Total
New $30,400 6.00% 60 $587.72 $4,863 $35,263
1 Year $24,320 7.50% 60 $487.32 $4,919 $29,239
2 Years $20,672 7.50% 60 $414.22 $4,181 $24,853
3 Years $17,571 7.50% 60 $352.09 $3,554 $21,125

As soon as it leaves the dealer lot, a new car loses nearly 25% of its value, and it keeps dropping a significant percentage of its value year after year. A car that cost $30,400 when new will be worth around $17,571 after 36 months of ownership. Let’s consider the typical limits on auto loans for used cars:

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

Poor Credit Car Loans in Petersburg

Getting an auto loan with below-average credit can be an effort, particularly if you are reluctant to pay an exorbitant interest. The higher your credit score is, the more options you will have. Years ago, consumers had to go from one lender to the next, attempting to locate one willing to approve their loan. Fortunately, technological advances have gotten rid of much of this legwork.

If your credit is in the weeds, you may be tempted to work with a dealer that promotes buy here pay here financing. The cons are appreciable, including excessive annual percentage rates and multitudinous conditions.

Instead, you’re better off if you apply for financing via the internet. A regular loan company will report to the credit agencies, which means your credit score will increase as long as you make your payments on time.

Go here to apply online.

Zero Down Cars in Petersburg

Down payments are generally required when you secure a car loan. For people with top-notch credit, a down payment is normally optional. If you haven’t got very good credit, it is better to start setting aside cash for a down payment, or else you could find yourself paying an inflated interest rate. Nevertheless, when you apply online, there are many lenders and dealers which do offer no down payment auto loans for people without very good credit.

Petersburg Resources

Credit Unions

Credit UnionStreet addressZipTelephone
Peoples AdvantageP O Box 318023805(804) 748-3081
Peoples Advantage110 Wagner Rd23805(804) 748-3081
Petersburg Fed Ref Credit Union IncPO Box 9002623804(804) 861-2537
Trustus25801 Hofheimer Way23803(804) 524-2715