Auto Loans in Saint Louis (MO)

Saint_LouisHere at Missouri Auto Finance, we help people in Saint Louis get approved for car loans, regardless of whether they are trying to overcome such problems as:

  • Subprime Credit
  • Lack of Credit
  • No Money Down

We make it easy to submit your application through our system. You will enjoy the convenience of having a devoted financing expert to address your questions and set up your loan. You could be on your way to a Cardinals or Rams game in your new car before you know it!

Your Credit Determines The Cost of Your Loan

You’d probably like to know what your interest rate is going to be, wouldn’t you? Do you know your credit score? This is the number one factor. If you have a favorable credit record, you might get approved at 3.50% APR, for example. Over a term of 5 years, you would end up paying $1,533 on a loan of $16,752, but with a low credit score and a rate of 10.50% APR, you would pay $4,852! Loan companies need more information before they can offer you an annual percentage rate. Go here to apply online.

Used Vehicle Financing in Saint Louis

Used vehicles are known to offer several different substantial merits:

  • They are cheaper to buy.
  • They are less expensive to insure.
  • They hold their value better.

Some people dismiss used vehicles for having more expensive annual percentage rates, but remember that they cost less up front and in sum total. Maintenance concerns can be assuaged by looking for a late model car or truck or buying a new service contract. Below, you will find the following numbers that may help you determine if it’s best to buy a new or used vehicle. These estimates rely on these assumptions:

  • New car costs $20,940.
  • 50% depreciation in first Two years of ownership.
  • Good credit score.
  • Simple Interest.
New Car Used Car
Price $20,940 $10,470
Down Payment $4,188 $1,047
APR 5.00% 7.50%
Years 5 4
Monthly Payment $316.13 $227.84
Total Interest $2,216 $1,513
Total Paid $23,156 $11,983

Buying a Car with Bad Credit in Saint Louis

For those who have below-average credit, bank financing ordinarily isn’t an option. Seeking out a loan lender in Saint Louis who approves people with bad credit is crucial, as you don’t want to get turned down or be hit with an unnecessarily high APR rate. Through us, you can contact a vehicle finance specialist from a dealer or lender within driving distance who is willing to approve your credit.

Auto loans can actually help you re-establish your FICO score. Of course, you have got to make all the payments when they are due. In an effort to prevent missed payments, consider having your car payment taken right from your bank account on a specified day of the month. Most lenders now offer such an option, known as “auto-draft” or “auto-pay.” Selecting the ideal payment amount is critical. By way of example, suppose you make $2,094 per month, the average for Saint Louis residents.

  • Low Payment: $105 (5%)
  • Intermediate Payment: $168 (8%)
  • Max Payment: $209 (10%)

Saint Louis Buy Here Pay Here Dealers

The buy here pay here industry has grown in recent years, largely due to the fact that so many people’s credit scores suffered on account of the economy. Normally, dealer finance is outsourced, in that dealers work with banks and lenders with whom they have relationships to provide the loans. By contrast, BHPH dealers engage in direct lending. They function as both dealer and lender. This is the origin of the expression buy here pay here.

You will see that used vehicles are the only ones offered, and these are not zero down cars. Quite often, the down payment is the same as what the dealer paid for the vehicle, and you could end up paying thousands in interest through inflated rates. Is strengthening your credit one of your goals? Then you should apply online through us, as BHPH dealers won’t aid you in boosting your credit.

Saint Louis Consumer Profile

The Saint Louis economy was built on river commerce, which is still a significant revenue center, though other industries such as health care and aerospace buoy the economy. Major employers include BJC and SSM in health care, while Boeing and Scott AFB each employ in excess of 13,000 workers. Washington University is another major employer, and we offer our services to students of the university as well, many of whom are dealing with issues like lack of credit and regular income. Below is a profile of the average consumer in St. Louis.

  • Gross annual Income: $25,124
  • Income Per Month: $25,124
  • Average Car Payment: $230
  • Ideal Monthly Payment: $168 (8% of monthly income)

Auto Loans in Saint Louis for Various Credit Tiers

Have a look at this chart, which shows what price car you can afford based on your credit rating, along with an income of $2,094 on a monthly basis, 5 year loan, and 20% down.

Great Credit Okay Credit Subprime Credit
Monthly Income $2,094 $2,094 $2,094
Monthly Payment $168 $168 $168
Rate 3.50% 6.50% 10.50%
Vehicle Price $11,511 $10,702 $9,742
Money Down $2,302 $2,140 $1,948
Total Interest $843 $1,489 $2,257
Total Paid $12,353 $12,192 $12,000