Auto Loans in Independence (MO)

Independence MOIndependence was once the jumping-off point for the Oregon, California, and Sante Fe Trails–are you ready to blaze some trails of your own in a new car? If so, you ought to consider pre-approved financing–it makes purchasing a car such a simpler, more enjoyable process.

For years, we’ve been cultivating relationships with dealers and lenders across Missouri, and we have agents standing by, expecting your application. Typically, we’re able to place consumers with an appropriate lender or dealer within seconds of application.

What Will Your Annual Percentage Rate Be?

Securing the most competitive interest rate you can should be top of mind for you, as it will determine how much your vehicle ends up costing in the end. Here are a few interest rate estimates for Independence.

Credit Low APR High APR
Good Credit 3.5% 7.0%
Decent Credit 5.0% 9.5%
Below Average Credit 6.5% 14.5%
Bad Credit 10.5% 19%
Really Bad Credit 16% 22%

These figures are only to offer you a feeling for potential rates. Lenders need your application in order to offer you a rate of interest. Go here to submit your application.

Financing a Used Car in Independence

In many ways, a car or truck that’s two or three years old ends up being a better purchase than a new one. The finance fees for preowned cars are a bit more expensive, but other advantages, such as a lower purchase price and shallower rate of depreciation, more than compensate for these increased rates. If you’re concerned about repairs and maintenance, you can find yourself 1-2 year old vehicle with great dependability. To help you determine which type of car fits your budget, we have published the following chart. These estimates rely on the following assumptions:  credit score of 690 to 720, 50% depreciation after two years, 20% down payment for new vehicle and 10% for used one.

New Car Used Car
Price $29,060 $14,530
Down Payment $5,812 $1,453
APR 5.00% 7.50%
Months 60 48
Monthly Payment $438.72 $316.19
Total Interest $3,075 $2,100
Total Paid $32,135 $16,630

Bad Credit Independence Car Loans

Most auto finance companies assess your credit based on your auto-enhanced credit score. This score is based on your history with car loans and leases, and it’s only for lenders. A lot of shoppers are led to believe they have no choice but to purchase from one of the buy here pay here dealerships in Independence, due to a low credit score, but odds are you can get approved at a more affordable rate from a more trustworthy company.

Odds are we can place your application with a dealer or lender in Independence who is ready to get you in the driver’s seat. Apply here.

Car and truck loans can certainly help you restore your credit score, as long as you make all the payments and never miss one. At the same time, just one missed payment can hurt your score considerably. Selecting the right payment amount is extremely important. As one example, let us suppose you have an income of $2,906 per month, the average for Independence residents.

  • 5% of Income: $145 (Ideal)
  • 8% of Income: $232 (Okay)
  • 10% of Income: $291 (Maximum)

Buy Here Pay Here Financing in Independence, MO

The BHPH industry has boomed in the years following the recession, largely due to the fact that so many people’s credit ratings took hits on account of the credit crunch and housing market. These car lots approve funding on site, while a lot of dealerships farm this out to third-party lenders, and they are more concerned with your income than your credit.

Drawbacks include inflated finance fees and down payments, not to mention overpriced vehicles with ignition kill-switches to help with repossession This is why these car dealers have a bad reputation. We want to place you in the hands of dealer finance professional who can get you financed, even if you’ve been through bankruptcy.

Independence Income and Finances

  • Income Per Year: $34,872
  • Monthly Income: $34,872
  • Average Car Payment: $320
  • Optimal Monthly Payment: $232 (8% of monthly income)

Check out this chart, which displays what price car you can finance based on your credit score, provided an income of $2,906 on a monthly basis, 5 year term, and 20% down payment.

Good Credit Okay Credit Bad Credit
Monthly Payment $232 $232 $232
Loan Rate 3.50% 6.50% 10.50%
Vehicle Price $15,974 $14,852 $13,520
Down Payment $3,195 $2,970 $2,704
Total Interest $1,169 $2,067 $3,133
Total with Interest $17,144 $16,919 $16,653