Do You Need Good Credit To Buy | A Car

: In most states, bad credit also leads to higher car insurance rates. Strategies for Buying with Lower Credit

: A borrower with a score in the 500s might pay over $11,400 in interest on a $20,000, five-year loan—more than double the $5,500 paid by someone with a score in the 700s. do you need good credit to buy a car

Data based on reports from Experian and WalletHub for Q4 2025/2026. : In most states, bad credit also leads

: Lower scores often result in shorter loan durations (e.g., capped at 48–60 months) to reduce lender exposure. : In most states

If your score is below 660, experts from NerdWallet and Consumer Reports suggest these steps to improve your odds: How Your Credit Score Affects a Car Purchase