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Posted in Auto Loans
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DavidMurphy2015

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How likely am i to get a 20k auto loan with a 650.
I make 22k a year but have no expenses because I'm military, I also plan to put a 2k down payment as well.

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Probably

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Your chances are good to get an auto loan for $20K with a 650 credit score.  You will not get the best interest rates, no chance for one of those zero percent rates.

You will pay a higher interest rate.  For example, a credit score of 800 or more may have an interest rate of 3.1 percent, a score of 700 a rate of 5.0 percent,  and a score of 650 a rate of 8.0 percent.  

On a $18,000 loan, the amount of interest paid with an interest rate of 650 will be around $3,900 versus the total interest paid with a score of 800 or more which would be around $1,440.

Your income is not great, but with no expenses, probably sufficient to get a rate. 

Your downpayment will help as lenders like to see a lendee invest some cash into the purchase.

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Oh, it's likely, but be prepared for an ungodly high interest rate and some rather nasty terms/rules that go with that loan (e.g. no grace period, huge late-payment fees, etc). 

Generally, most lenders want to see something north of 700 before you get a good interest rate... You might be able to sweeten the deal by putting up part (or most?) of the automobile price as a down payment, but it would have to be a substantial percentage.

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