Seventeen-year-olds can’t take out a car loan, or even become a cosigner or co-borrower on one. In the U.S., you absolutely have to be 18 years old in order to legally sign a loan contract. Up until you turn 18, you’re considered a minor by law and can’t enter into a contractual agreement with a lender.
Is it possible to finance a car at 18?
The short answer is that anyone 18 and older can apply for a car loan. The slightly longer answer is that you will need to prove that you have the necessary income to pay back the loan, and unfortunately, you will likely have to make a large down payment.
Can a 16 year old get a car loan with a co signer?
“Legally, you can’t get any loan until you’re 18, even if your parents are cosigners.
How old can a financed car be?
Typically, a bank won’t finance any vehicle older than 10 years, even if you have good credit.
Can you take a car loan out at 17? – Related Questions
What credit score is needed to buy a car?
What Is the Minimum Score Needed to Buy a Car? In general, lenders look for borrowers in the prime range or better, so you will need a score of 661 or higher to qualify for most conventional car loans.
What is considered a high car payment?
According to experts, a car payment is too high if the car payment is more than 30% of your total income. Remember, the car payment isn’t your only car expense! Make sure to consider fuel and maintenance expenses. Make sure your car payment does not exceed 15%-20% of your total income.
Can you finance a vehicle older than 10 years?
While it is true for many, that a car older than 10-years cannot be financed, there are a few institutions that have modified their lending options to help the consumer get into a car, even if it is slightly older.
How long can you finance a 2012 vehicle?
A lender sets the auto loan term length for a used car, which varies from company to company. Until recently, used car loans were generally limited to 72 months. However, today borrowers can secure used car loans for 84 months or more due to the rising need for vehicles.
Is a 10 year old car worth buying?
In reality, there is no concrete answer for this – it all depends on the car. A well-maintained 10-year-old car could possibly be a better investment than a newer model which hasn’t been looked after. As a very general rule of thumb, a car is usually reliable up to 5 years providing it has been maintained.
Can you refinance a car older than 10 years?
Can you refinance an auto loan with an older car? Yes – but only up until a certain age. Most lenders won’t refinance a vehicle that is older than 10 years old or greater than 140,000 miles. Some lenders have even newer requirements, with lower mileage restrictions.
What is the best option to finance a car?
Auto Loan Providers With the Best Rates
| Lender |
Starting APR |
Award |
| 1. myAutoloan |
3.99% |
Best Low-rate Option |
| 2. Consumer Credit Union
|
4.69% |
Most Flexible Terms |
| 3. AutoPay |
2.99% |
Most Well-rounded |
| 4. PenFed Credit Union |
4.44% |
Most Cohesive Process |
1 more row
Does selling a financed car hurt your credit?
Sell the vehicle.
If your car is worth as much as or close to the balance on your account, selling it could enable you to pay off the loan without harming your credit.
Can you finance a car with 150k miles?
Yes. Some banks will finance vehicles with high mileage because they understand that vehicles last longer than they used to. A private party auto loan, where you’re buying a car directly from the owner, may typically only be available to credit union members or bank customers.
What is the longest car loan you can have?
One of the longest car loan terms available is generally a 96-month car loan — except not every lender will offer them, and specialty lenders may have other, longer terms available. If you’re in the market for a low monthly payment, an eight-year-long car loan can provide this; although you may want to compare lenders.
How much mileage is too much for a used car?
What is considered high mileage on a car? Often, 100,000 miles is considered a cut-off point for used cars because older vehicles often start requiring more expensive and frequent maintenance when mileage exceeds 100,000.
Can I finance a car I own?
As long as your vehicle is less than 10-years-old, has less than 100,000 miles, and is in good condition overall, you can get a car loan on a car you already own. Many people do this, especially when they’re getting a higher return on their savings or investments compared to an auto loan rate.