What Credit Score is Needed to Finance a Car?

car keys and credit card

Drivers in Eatontown sometimes wonder what credit score is needed to finance a car. Whether you’re buying a car for the first time or the fifth time, navigating the car buying process can be tricky and confusing. When you go to finance a car you need to fill out a finance application in order to be approved. The finance application will measure your credit score and suggest an interest rate based on that information. However, what’s the best credit score to finance a car? Read on with Galaxy Toyota to see what an ideal credit score is to finance a car and how you can get bad credit car finance. Buying a car for the first time? Read our car buying tips to learn everything you need to know before buying!

What’s The Average Credit Score to Finance a Car?

As of March 2020, the average credit score needed to obtain a car loan on a new car is 718, the average score for a used car is 659. However even if you have a lower or higher credit score, you can still get financing for a new or used car in Freehold. Generally, the higher your credit score the lower the interest rate you’ll receive. Here are some categories that credit scores are separated into below:

  • Exceptional: 800 – 850
  • Very Good: 740 – 799
  • Good: 670 – 739
  • Fair: 580 – 669
  • Poor: 300 – 579

How to Get Bad Credit Car Financing

If you have less than ideal credit, don’t worry! You can still get bad credit car financing at your local Toms River dealership like Galaxy Toyota. To ensure you’re doing everything you can to get a car loan with poor credit, read the tips we’ve collected for you below:

  • Focus On Positives: If your poor credit comes from a business debt but you’ve never missed a car payment or other large payment, most lenders will be more lenient. If you can demonstrate financial responsibility with your bills, then you’re in good shape.
  • Bring Proof: If you can show the lender pay stubs, proof of address, cell phone bills, auto insurance documents, and proof that you’re currently working, you’ll have an easier time getting a car loan.
  • Show Collateral: You’re more likely to qualify for a car loan and get a good interest rate if you own a home or are able to put down a good sized down payment.

Finance Your Next Toyota Today at Galaxy Toyota!

Whether you’re looking for a new SUV or crossover, or you’re looking for a used sedan, Galaxy Toyota near Long Branch has the vehicle for you! Don’t let your poor credit score keep you from getting the car you need. Apply for financing online and let our finance experts help you find a plan that fits your budget. You can also learn how to trade-in your car and browse our finance and lease deals to see if you can get the car you want at a discount, plus you can learn about in-house financing with Galaxy Toyota! Contact us with your questions! We look forward to working with you!

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