An average price of a new car is set at $33,000, while the average value for used cars ends at $20,000 as the top price paid for a used car based on statistics from 2018.
People who choose to get a loan for buying a car usually get around $30,000 for buying a new car and $19,000 as an average amount of car loan for purchasing a used car.
What you need to note when considering taking a loan to buy a car is your credit score as car dealerships and banks usually determine your monthly rate and down payment based on your credit score.
What Credit Score Do You Need to Buy a Car?
An average credit score of users who bought their cars in 2018 was 714, while users who were getting car loans for used cars usually had a lower average credit score of 655.
Car buyers looking for a loan to buy a car may end up paying up to 20% interest to the borrowed amount in case of deep subprime credit score, which includes score between 300 and 500.
At most times, potential car buyers with scores lower than 300 won’t even be considered as eligible for a car loan.
However, some dealerships will grant car loans regardless of the credit score, even in case of bad or no credit.
Car Dealerships Granting Car Loans with Poor Credit Score
CarsMaster might be one of the rare car dealerships that offer car loans and credit for buying a car even in case of poor credit score.
Although interest rates at some car dealerships go as high as 20%, CarsMaster offers low down payments starting from $950 alongside low monthly payments that go to as low as $350 a month for buying a car at CarsMaster.
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