Can I get an auto loan with a 640 Credit Score?
Are you looking for a car loan but your credit score is 640? A FICO credit score of 640 falls in the average range and you can definitely get a car loan with that score but you will have to pay a higher interest rate (APR) than someone with let’s say a 680 credit score, keep in mind that lenders do not only look at the credit score when deciding who to give a car loan to. Your current income and debt to income ratio play a huge part of the decision.
A credit score of 640 is going to most likely require a down payment of 10 percent in cash or trade. If you can put down 15-20 percent down then that’s even better cash advance in Alabama Memphis as it will definitely lower you interest rate and you will end up paying less over the course of your loan term. I know somebody who had a credit score of 530 and was able to get a new Honda Civic through financing with a % APR rate, while % interest is not great it is definitely very good for someone with a 530 credit score.
It is always better to go to the dealership already pre-approved for an auto loan, you can get an auto loan through a credit union,banks,etc
CarsDirect is also a great auto loan service since they work directly with dealerships in order to get you an auto loan. (more…)