Auto Loans in Columbia (MO)

Columbia-MOColumbia residents are some of the most well-educated in the entire nation, so it’s no wonder you’re doing the smart thing–looking for financing ahead of time.  Doing so streamlines the car-buying process like nothing else short of hiring a personalized car-buyer. We have access to a wide network of lenders and dealers in Columbia and beyond, and we have some of the best rates of approval in the market. You will be led step-by-step through the lending process by a financing professional near you.

What APR Will You Get in Columbia?

You’d probably like to know what your interest rate is going to be, wouldn’t you? Have you checked your credit score? This is the biggest factor. It’s difficult to calculate what your annual percentage rate is going to be, at least not here, but we can provide various approximations.

Credit Score New APR Preowned APR
Excellent Credit 3.5% 4.7%
Fair Credit 4.8% 6.7%
Slow Credit 6.7% 9.3%
Bad Credit 10.5% 14.6%
Very Bad Credit 15.8% 18.8%

These are not advertised rates, but rather averages that may differ markedly from the rate quoted by your lender or dealer. For a definitive estimate of your interest rate, it is advisable to contact an auto finance professional.

Auto Loans for Preowned Cars in Columbia

A great many smart investors avoid new cars in favor of used ones. The finance rates for used cars and trucks are slightly higher, but other advantages, such as a lower sticker price and flatter rate of depreciation, more than compensate for these higher rates. Of course, lenders won’t approve financing for just any preowned car or truck. It must meet certain requirements: Vehicle must have no more than 100,000 miles and be no more than 7 years old. In the end, a preowned car or truck is typically a better investment.

Columbia Bad Credit Car Loans

Maybe you have bad credit as a result of such issues as delinquent bills, company layoffs, foreclosure, or bankruptcy? While a bad credit score might make it difficult to buy a new vehicle, it’s definitely not hopeless. We can help. At Missouri Auto Finance, we are dedicated to serving people who have credit problems of all kinds, getting them the loans they need. If you want to minimize your APR rate, make the time to look over your credit report for inaccuracies that could be reducing your score.

One time each year, you can check your credit at no cost at Annual Credit Report, in accordance with the FACT (Fair and Accurate Credit Transactions) Act. It is highly recommended to do this in order to be sure you are offered the interest rate that’s as low as possible.

Car Loans for University of Missouri Students

Are you a Mizzou Tiger? If so, you might be faced with one or both of the challenges that face many undergraduates:  lack of credit or income. We can help with the first, in that we have work with many dealer and lenders who do finance people with little to no credit history. Income, however, is a more difficult obstacle. Unless you make $1500 on a regular basis, and can provide it through pay stubs or tax returns, you will need a parent or other person to co-sign your auto loan.

Columbia, MO Buy Here Pay Here Car Lots

Buy here pay here dealers would love you to assume that they are your only option, but this usually isn’t the case. These dealers will finance virtually anyone, no matter their credit, but there are issues. Alas, you should be prepared for exorbitant rates of interest, expensive down payments, and vehicles that cost too much given the kind of shape they’re in. Is boosting your credit a concern for you? If so, you are better off applying through us, since buy here pay here car lots won’t help you increase your credit.

Columbia Income and Finances

The per-capita income averages in Columbia look really low on account of the large student population. In reality, Columbia has a strong economy anchored by education, health care, and insurance. The numbers that follow may look a little deflating, so make sure to scale them according to your own income.

  • Income Per Annum: $9,868
  • Income Per Month: $9,868
  • Optimal Car Payment: $66 (8% of monthly income)

Take a look at this table, which displays what price car suits your budget based upon your FICO score, along with an income of $822 on a monthly basis, 5 year loan, and a down payment of 20%.

Excellent Credit Decent Credit Subprime Credit
Monthly Income $822 $822 $822
Payment $66 $66 $66
APR 3.50% 6.50% 10.50%
Months 60 60 60
Purchase Price $4,519 $4,201 $3,824
Money Down $904 $840 $765
Borrowed Funds $3,615 $3,361 $3,059
Interest Paid $331 $585 $886
Total Paid $4,849 $4,786 $4,710

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Our company is your trusted source when it comes to financing a car in Columbia. Get in touch with an automotive finance specialist in Columbia today.