| Lender | Starting APR | Loan terms | Loan amounts | Minimum credit score | Best for… |
|---|---|---|---|---|---|
 | 4.50% | 12 to 84 months | From $12,000 | Not specified | Short-term loans |
 | 4.54% | 36 to 96 months | Not specified | Not specified | Military connections |
 | 5.24% | 36 to 84 months | Up to $150,000 | Not specified | A car-buying service |
 | 6.84% *with autopay | 36 to 84 months | Up to $250,000 | 550 | Bad-credit borrowers |
 | 6.49% | 36 to 72 months | From $4,000 | Not specified | Dealership loans |
 | 5.89% | 48 to 72 months | From $7,500 | Not specified | Those who prefer a bank |
| Starting APR | 4.50% |
| Loan terms | 12 to 84 months |
| Loan amounts | From $12,000 |
| Minimum credit score | Not specified |
| Pros | Cons |
|---|---|
No restrictions on model year Can qualify for terms as short as 12 months Can apply to skip up to two monthly payments a year | Must become a credit union member Doesn’t disclose credit requirements Bank branches limited to a handful of locations in TN and KY |
Southeast Financial Credit Union (SFCU) offers short-term auto loans — as short as 12 months. The shorter your repayment period, the less money you’ll pay in interest over the life of the loan. It can be a challenge to find a lender willing to finance an older vehicle, but SFCU doesn’t place any restrictions on model year.
Unfortunately, Southeast Financial doesn’t provide a lot of information about the credit requirements you’ll need to get preapproved. You’ll also need to become a member of the credit union in order to close on your loan, which adds another step to the process.
To become a Southeast Financial Credit Union member, you’ll need to open a savings account with them and make a $5 deposit. You’ll also need to meet at least one of the following requirements:
| Starting APR | 4.54% |
| Loan terms | 36 to 96 months |
| Loan amounts | Not specified |
| Minimum credit score | Not specified |
| Pros | Cons |
|---|---|
Preapproved offer is good for 90 days APR discounts for active-duty and retired military members Offers car-buying service | Doesn’t specify borrowing limits Exclusive to borrowers with military ties Preapprovals not available for private-party purchases |
If you receive a preapproval offer from Navy Federal Credit Union, it’s good for up to 90 days, giving you plenty of time to complete your car purchase. Customers can shop for vehicles with Navy Federal’s car-buying service, and active and retired military members may qualify for a 0.25% APR discount.
While Navy Federal Credit Union offers competitive auto loans, they are only available to borrowers with military ties and preapprovals can only be used for dealership purchases. It also doesn’t specify available loan amounts on its website, making it hard to compare with other lenders.
Navy Federal Credit Union only offers membership to consumers with military connections. You’ll need to meet at least one of the following requirements to qualify:
| Starting APR | 5.24% |
| Loan terms | 36 to 84 months |
| Loan amounts | Up to $150,000 |
| Minimum credit score | Not specified |
| Pros | Cons |
|---|---|
Offers a car-buying service with exclusive manufacturer offers and deductible reimbursement Easy online application process Offers up to 125% financing | Unclear eligibility requirements Must become a credit union member Car-buying service is not available in Puerto Rico |
Not only does PenFed Credit Union offer low auto loan rates, but its customers can also access a car-buying service to find a vehicle that will fit their needs. If you buy a car using this service, it may even come with special manufacturer offers that are exclusive to PenFed members. You can finance up to 125% of your vehicle through this lender, but be careful with this route — financing more than your vehicle is worth can result in an upside-down loan.
Unfortunately, you can’t use the car-buying service if you live in Puerto Rico. This lender doesn’t specify the credit score you’ll need to qualify for a car loan, though you will need to be a PenFed member to receive funds.
| Starting APR | 6.84% *with autopay |
| Loan terms | 36 to 84 months |
| Loan amounts | Up to $250,000 |
| Minimum credit score | 550 |
| Pros | Cons |
|---|---|
Offers 0.25% APR autopay discount Allows joint applications Funding available to borrowers with credit scores as low as 550 | Must become a credit union member Dealership purchases only Loans for cars older than 2021 have higher APRs |
If you have a low credit score, it can be challenging to qualify for a car loan. With a minimum credit requirement of just 550, Consumers Credit Union works with poor-credit borrowers and offers competitive rates. If you can’t qualify on your own, CCU also allows you to submit a joint application with a trusted friend or family member who has strong credit.
On the downside, you can’t use a Consumers Credit Union loan to fund a private-party purchase, buy out your lease or buy a car from an online dealer like Carvana. Financing for vehicles that are older than 2021 will come with higher rates, and the rates on cars older than 2016 are higher still.
| Starting APR | 6.49% |
| Loan terms | 36 to 72 months |
| Loan amounts | From $4,000 |
| Minimum credit score | Not specified |
| Pros | Cons |
|---|---|
Partners with over 12,000 dealerships Allows joint applications Offers 24/7 access to customer service | No option to refinance current Capital One loans Doesn’t offer autopay discount Auto loans only available through partner dealerships |
Capital One may be a good fit if you’re shopping for cars at a dealership because it partners with more than 12,000 dealers in 48 states. If your credit isn’t strong enough to qualify on your own, you can also apply with a co-applicant.
However, since Capital One doesn’t offer auto refinancing for its own car loans, you’ll have to find a new lender if you want to make changes to your loan down the line. You’ll also only be able to secure Capital One financing through dealer partners, which may limit where you’re able to look for your next car.
| Starting APR | 5.89% |
| Loan terms | 48 to 72 months |
| Loan amounts | From $7,500 |
| Minimum credit score | Not specified |
| Pros | Cons |
|---|---|
Offers loans in all 50 states Offers a variety of auto loan types, including private-party loans Preapproval as quickly as 60 seconds | Loans not available for purchases at independent dealerships Rate discounts only available to Preferred Rewards members Minimum loan amount is high |
Bank of America is one of the largest banks in the U.S. and offers financing in all 50 states. You can also qualify for a wide variety of loans, including private party and lease buyouts. Once you submit your information, you may receive a preapproval in as few as 60 seconds.
While there are rate discounts available, they are exclusive to Preferred Rewards members and the bar for qualification is high. Auto loans are also not available at independent dealerships except for CarMax, Enterprise and Carvana.
While Bank of America doesn’t state its minimum credit requirement, it does require that your vehicle check the following boxes:
Getting preapproved for a car loan can temporarily damage your credit score since lenders typically perform a hard credit pull. But if you get preapproved with multiple auto lenders, the credit bureaus will only count it as one inquiry as long as you do it within a 14-day window.
Yes — many lenders offer borrowers the option to get preapproved for an auto loan online. Easy online applications can streamline the car-buying process, but you’ll need to have a good credit score to qualify for a preapproved car loan.
The amount of time it takes to get preapproved for a car loan depends on the lender. It can take anywhere from a few seconds, a few minutes or even a few days for lenders to deliver their decision.
Yes, you can be denied for a preapproved car loan. Although some lenders offer auto loans for bad credit consumers, your application is more likely to be rejected if your credit score is low. If this is the case, consider using a cosigner for your car loan and taking steps to improve your credit score.
