What car can I get with a 650 credit score?

June 2024 · 4 minute read

If you’re shopping for a car and have a credit score of around 650, you might be wondering what kind of car you can get approved for. While credit scores are an important factor for lenders, they are not the sole determinant in car loan approvals. There are various other aspects that lenders consider when evaluating your creditworthiness and determining the type and amount of loan they can offer you. Let’s delve into the details to understand what car you can get with a 650 credit score.

Firstly, it’s important to note that a credit score of 650 is considered to be fair or average. While it might not be the most impressive credit score, it still presents you with options when it comes to purchasing a car. Here are a few possibilities:

1.

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Can I get a car loan with a 650 credit score?

Yes, you can absolutely get a car loan with a 650 credit score. However, the terms and interest rates may not be as favorable compared to someone with a higher credit score.

2.

What interest rate can I expect with a 650 credit score?

With a credit score of 650, you may be offered an interest rate ranging from 7% to 12%. The exact rate depends on the lender and other factors such as your income and financial history.

3.

Can I get a new car with a 650 credit score?

While it’s possible to get a new car with a 650 credit score, your options may be more limited compared to someone with excellent credit. It’s important to be realistic and consider affordable options.

4.

What kind of used car can I get with a 650 credit score?

With a 650 credit score, you can generally qualify for a decent used car. It’s advisable to look for reliable, affordable options rather than luxury or high-end vehicles.

5.

Should I consider improving my credit score before buying a car?

If you have the time and flexibility, it may be beneficial to try improving your credit score before purchasing a car. A higher credit score can provide you with better loan terms and lower interest rates.

6.

What can I do to improve my chances of getting approved?

To improve your chances of getting approved for a car loan, consider saving for a larger down payment, providing proof of stable income, and exploring different lenders to find the best terms for your situation.

7.

Can I get a cosigner to help me secure a better loan?

Having a cosigner with a stronger credit profile may increase your chances of getting approved for a car loan and potentially lead to better loan terms.

8.

What factors besides credit score will lenders consider?

Lenders also consider factors such as your income, employment history, debt-to-income ratio, and the loan amount in relation to the car’s value.

9.

Is it possible to refinance my car loan later on?

Yes, it is possible to refinance your car loan down the line. As your credit score improves, you may be eligible for better interest rates, allowing you to lower your monthly payments.

10.

Can a dealership help me find financing options?

Yes, many car dealerships have relationships with multiple lenders and can assist you in finding financing options that suit your credit score and financial situation.

11.

Should I consider buying a car from a private seller instead?

Buying a car from a private seller may provide more flexibility, but securing a loan for a private sale might be more challenging with a credit score of 650. Dealerships typically have more experience with lower credit scores.

12.

How can I check my credit score?

You can check your credit score through various credit bureaus such as Experian, Equifax, or TransUnion. You are entitled to one free credit report each year from each of these bureaus.

In conclusion, while a credit score of 650 may not be the highest, it is still possible to obtain a car loan and purchase a vehicle of your own. Be sure to research and compare different lenders, explore financing options at dealerships, and consider improving your credit score to secure better loan terms. Remember, it’s important to stay within a realistic budget and avoid overextending yourself financially.

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