A car loan is usually necessary to purchase a new or used vehicle. Several factors determine auto loan eligibility, including your credit history and income. Our partners at ConsumerAffairs researched the best car loans in Bakersfield to make your car purchase simple and stress-free.
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Shopping for a car in Bakersfield can be exciting at first, but the actual buying process — especially if you have to arrange for a car loan — can be time-consuming and frustrating. While it’s tempting to immediately start looking for a new car, getting pre-approved for an auto loan lets you:
Know your budget before shopping for cars
Compare rates from several loan offers
Understand the rates you’re likely to receive
Potentially negotiate a lower rate from the dealer
Save time by having cash deposited in your bank before shopping
Many options exist when shopping for an auto loan. Banks, credit unions, online lenders and dealerships all offer vehicle financing for a range of customers in Bakersfield. To qualify for an auto loan, be prepared to meet the following basic requirements:
Age 18 or older
No active bankruptcies
Proof of income
Proof of residence
Comparing auto loans in Bakersfield
Many lenders in Bakersfield require borrowers to have good or excellent credit to qualify for a car loan. In general, the higher your credit score, the lower your annual percentage rate (APR). Those with poor credit should expect a higher APR. Typical APRs on auto loans range from 2.5 to 15 percent.
Other than APR, things to consider when comparing auto loans in Bakersfield are:
Loan term: Auto loans are offered for terms typically ranging from one to seven years, generally paid in monthly installments. Some lenders offer discounts on interest charges if you set up automatic payments from your checking account. Ask your lender about prepayment penalties if you decide to pay the loan off early. Also ask about perks like “skip a payment” or a delayed first payment.
Down Payment: Most auto loans do not require a down payment, but putting money down on a vehicle helps lower your interest rate because you’re financing a smaller amount. If you can afford to make a larger payment up front, it reduces the total cost of your loan.
Fees and other costs: In general, auto loans do not have an origination fee. Ask the lender about any fees that accompany the loan, and look for lenders that charge minimal fees. Make sure your loan amount is large enough to cover other costs, including title and registration fees, state sales tax and insurance costs.
LightStream is an alternative, online lender offering a range of car loans. The company guarantees to beat any qualified loan offer. When you are approved for a loan, LightStream deposits funds directly in your account so you can be a cash buyer. Bakersfield residents appreciate the easy-to-use website and quick application process.
Auto Approve specializes in refinancing high-interest vehicle loans at lower rates. Your first payment after refinancing is due in 45 days, allowing you to skip a payment. Auto Approve has an online loan calculator and can offer quotes within minutes. Bakersfield customers appreciate the company’s speed and efficiency.
Borrowers shopping for an auto loan can use LendingTree to compare rates from several lenders. When you provide your financial information on the LendingTree website, it generates a list of loan offers to compare. Many Bakersfield customers appreciate the company’s excellent customer service, but some report unwanted sales calls.
myAutoloan.com is a free online auto loan comparison tool with a financing calculator to help you determine your budget based on your credit score. Reviews from Bakersfield recommend the company for its helpful customer service agents, but some people report dissatisfaction with the company’s information sharing policies.
Capital One is a national bank that offers auto loans. Customers in Bakersfield can use the car-finding application on their website to shop for vehicles in the nearby area and apply for financing. The lender allows you to pre-qualify for a car loan without affecting your credit score. Bakersfield residents appreciate the website’s tools and resources.
Our partners independently research and analyze the companies mentioned in our guides and work with subject matter experts to add valuable information that helps consumers make smart purchase decisions. Our partners will not include companies on these guides that do not meet specific quality standards. The compensation we receive from our partners may impact how and where companies appear on our site, including the order in which they appear.
Our partners independently research companies, and use editorial discretion to award companies with special recognition (i.e. Best Value) based on their staff’s judgement or subject matter expert’s judgement. Our partners do this to help you identify companies that will meet your specific buying needs, and do not receive compensation for these designations.