Find the right auto loan or auto loan refinancing for your credit score.



Finding the best auto loans can be tricky. There is a sea of providers out there, and getting stuck with a bad loan can mean years of debt. The difference between a good interest rate and a bad interest rate can add up to thousands of dollars after all is said and done.

When making any major financial decision, it’s important to compare options. This list will point you to a number of reputable auto loan providers to help you decide where to apply. We’ll also explain the application process as well as tips for how to get the lowest auto loan interest rates.

If you want to start comparing auto loan rates, visit



In this article:

Best Auto Loans: 10 Top Providers

There is no one best auto loan provider for everyone. While most people looking for loans will want to find a provider offering the lowest annual percentage rate (APR), the interest rate you receive depends on your credit score as well as a number of other factors. Different financial institutions may also offer different minimum and maximum loan amounts.

Finding the best provider also depends on which type of loan you need: a purchase loan or a refinancing loan. The table below shows some information for a few of the best auto loan providers for a variety of borrower types. Some of the providers listed below administer loans directly to customers, while others are brokers that match customers with loans. Both can be good places to start when looking for the best auto loans.

Auto Loan
Credit Score
Annual Income
Loan Amount Lowest APR Offered Broker or Administrator
Credit Union
610 Not specified $500 to $100,000 1.39% Administrator
Auto Approve 580 $18,000 $7,500 to $150,000 1.90% Broker
RateGenius 550 Not specified $12,000 to $100,000 1.99% Broker
Autopay 630 Not specified $2,500 to $100,000 1.99% Broker
myAutoloan 575 $18,000 for refinancing,
$21,000 for purchase loan
$5,000 minimum 2.39% Broker
Tresl 500 Not specified $5,000 to $100,000 2.49% Broker
Bank of America Not specified Not specified $7,500 minimum 2.69% Administrator
Credit Union
620 $24,000 No minimum 3.34% Administrator
LightStream Not specified Not specified $5,000 to $100,000 3.49% Administrator
Auto Credit
No minimum
$18,000 Varies by lender Varies by lender Broker

Based on the available information, we think some of the best auto loans can be found from the following companies:

  • PenFed Credit Union: Lowest APR
  • Auto Approve: Best for Refinancing
  • Auto Credit Express: Best for Bad Credit

PenFed Credit Union: Lowest APR

PenFed Credit Union was initially started to serve military members and their families, but its services have since been made available to the general public. While not accredited by the Better Business Bureau (BBB), PenFed Credit union has an A+ BBB score.

The credit requirements for a PenFed Credit Union loan are higher than many other lenders, but it offers some of the lowest interest rates in the industry.

PenFed does have a moderate customer review reputation online, though most complaints filed through the BBB regard PenFed home loans. Also, given the size of PenFed, the number of customer complaints is relatively low.

PenFed Credit Union Pros PenFed Credit Union Cons
Offers exceptionally low interest rates Moderate customer service reputation
A+ rating from the BBB Does not offer loans to drivers with poor credit
  Customer reports describe a slow application process

Auto Approve: Best For Refinancing

Auto Approve only offers loan refinancing, not purchase loans. However, it does this well. While drivers with poor credit may not be eligible for an Auto Approve loan, those who are eligible may find interest rates as low as 1.9 percent.

Auto Approve holds BBB accreditation, an A+ rating, and a perfect 5.0 out of 5.0-star customer review score based on over 500 reviews. As even a one-percent interest rate reduction could save you hundreds of dollars, there’s no reason not to see what refinancing offers you can find with Auto Approve.

Auto Approve Pros Auto Approve Cons
Low interest rates Only offers loan refinancing, not purchase loans
Strong customer service reputation Does not offer loans to drivers with very bad credit or no credit
Easy and fast application process  

To learn more about this provider, read our complete Auto Approve review. You can also visit to compare rates.


Auto Credit Express: Best For Bad Credit

Auto Credit Express specializes in loans for customers with poor credit. The company even has representatives that can help loan seekers build their credit scores through their loan repayments.

Customer experiences with Auto Credit Express vary, but few loan providers look to work with customers who have especially bad credit. If you need a vehicle and are having difficulty securing a loan because of poor credit, Auto Credit Express can help. Even drivers going through a bankruptcy or repossession may be able to secure an auto loan from Auto Credit Express.

Auto Credit Express Pros Auto Credit Express Cons
Offers financing for customers with bad or no credit Currently has a BBB alert regarding licensing issues
Pairs customers with loans based on credit profile Poor customer reviews
Offers special rates for military members  

To learn more about this provider, read our full Auto Credit Express review, and visit to compare rates between multiple lenders.




Types Of Auto Loans

In general, car loans can be divided into two categories: purchase loans and refinance loans. A purchase loan is a loan taken out in order to purchase a new or used vehicle. Some lenders may work through dealerships to provide purchase loans, and others may offer to provide loans for private purchases as well.

There are also purchase loans for lease buyouts, in which drivers choose to purchase a vehicle after leasing it for an amount of time.

A refinancing loan is a second loan taken out to pay off an existing auto loan. The reason drivers may choose to refinance a loan is if the new loan offers a lower interest rate, meaning that they will pay a lower overall cost.

People whose credit score or income has recently changed may be interested in a refinancing loan. Or, if you feel that your original loan has particularly bad terms, refinancing your loan with a better lender can save you money.



How To Apply For An Auto Loan

Many lenders allow borrowers to apply for an auto loan entirely online. In some cases, borrowers can receive same-day financing. Typically, to apply for an auto loan you will need to supply the following information:

  • Personal details such as name, address, and age
  • Social security number
  • Gross annual income information
  • Vehicle information such as vehicle identification number (VIN), age, and mileage

You may also be required to show or submit a copy of the following documents:

  • Driver’s license
  • Pay stubs
  • References

When you apply for a loan, some companies may offer you the opportunity to have a cosigner, another person who will assume responsibility should you fail to make your loan payments. A cosigner may be required for people with exceptionally poor credit.



How To Find The Best Auto Loan Rates

When shopping for the best auto loans, you’ll get access to the lowest rates if you have a good credit score and financial history. The more money you have, the cheaper interest rate you will be offered. Customers with high credit scores, many assets (such as a house), and a high gross annual income will qualify for the best rates.

If you are trying to improve your credit score, be sure to do the following:

  • Pay your bills on time
  • Pay off credit card bills in full each month
  • Don’t take out many large loans
  • Check your credit report and dispute any inaccuracies
  • Pay down as much existing debt as possible

Building your credit score can take years, and many people may need an auto loan sooner than they can rebuild low credit. In the short term, you can find good loan terms by comparing offers from multiple lenders and by having someone with strong credit cosign your loan.


To start comparing the best auto loans, visit