St. Louis Car Loans - Scoring Good Rates & Deals

Purchasing a new vehicle can feel like a whirlwind of decisions-should you opt for a new or used car? Which dealership should you choose? What type of vehicle best suits your family's needs? What features should you prioritize? 

Amid all these considerations, there is one crucial question that may not immediately come to mind---what auto loan rates and terms will best fit your budget? St. Louis car shoppers won't only have to decide what type of payment structure is ideal, but also whether they'll want to score financing through their dealership or an alternative route, but also what type of payment structure is ideal. 

We're here to help break down the available auto loan options for St. Louis drivers and answer common questions. Before we proceed any further, we encourage you to consult with this glossary if you encounter any specific terms that you're unfamiliar with.

Should You Acquire Your Auto Loan Through Your St. Louis Dealership?

Most reputable St. Louis car dealerships can assist you in securing a car loan, acting as a go-between for you and a lender, or providing financing directly themselves. As is true with all things in life, this option has its own set of pros and cons.

Pros of acquiring a loan through your dealership

  • Speed and convenience - for many of us, our time and emotional well-being are the most precious commodities we have. Finding financing through your St. Louis dealership helps you skip the stressful task of finding your own auto loan. 
  • St. Louis dealerships like Bo Beuckman will compile offers from multiple lenders - Speaking about Bo Beuckman specifically, we're here to help you find the best rates possible. Therefore, we do our homework to find trustworthy accredited lenders with whom we work regularly. We can leverage our relationship to receive greate loan rates on your behalf. 
  • Lower credit scores aren't a major deterrent - It's in the St. Louis dealership's best interest to help you buy the car you want, even if you don't have a stellar credit history. Therefore, they can reach out to lenders known for being generally more flexible with their standards.
  • St. Louis dealerships may offer special promotional deals on financing - While not guaranteed, it's common for dealerships to provide incentives like low interest rates, zero-down financing, or bonus rebates.

Contact

Bo Beuckman Quality Ford

15675 Manchester Road
Directions Ellisville, MO 63011

  • CALL US: 636-227-5700

Cons of acquiring a loan through your dealership

  • There's no guarantee that you'll receive the best rates possible - If you have the time to do your research, you can sometimes find a better loan rate than what the dealership can negotiate on your behalf. 
  • Some (but not all) dealerships add on significant fees - Certain dealerships may charge additional processing fees, impacting the total cost of your loan.

Questions to ask your dealership if you choose to get your auto loan through them

  • Are there any deals available, like low rates, zero-down, or special discounts?
  • Can I see loan options from a few different lenders, or do you mostly work with certain ones?
  • What payment terms can I choose from, and how will each one affect my monthly payment?
  • If I pay off the loan early, are there any extra fees or penalties?
  • Are there any extra charges, like processing fees, that I should know about?
Our thoughts? The more information you have, the more powerful you will be. Know your options by researching loan rates from St. Louis lenders, and then talk to your dealership about what financing they can help orchestrate. This way, you can confirm if you're receiving the best deal. 

 

Tips for Scoring Good Auto Loan Rates in St. Louis

Don't immediately accept the first offer you receive

St. Louis drivers can easily access multiple loan providers--banks, credit unions, online lenders, and more. Talk with multiple lenders to determine who can offer you the best deal. Don't only inquire about the loan rates themselves, but also additional fees, potential penalties, and the general loan terms.

Save up for a larger downpayment

Sometimes, unforeseen circumstances strike, leaving you in urgent need of a new vehicle. However, if you are considering trading up but are in no immediate hurry, now is the time to start saving! The larger your initial downpayment, the less your loan amount and monthly payments will be.

Take action to improve your credit score before applying for a loan

There are plenty of tools that provide free credit score reports. If you earn a rating of "good" with a score of 670 or better, your credit score shouldn't negatively impact your car loan rates. However, if it's below this number, you should expect less favorable terms.

So what can you do to lift your credit score to receive better auto loan rates? Unfortunately, there's little actions you can take to greatly improve that metric overnight. Rather, a steady plan of action can deliver the results you want.

It's helpful to understand what influences your credit score in the first place: your payment history, your current debt, how long you've had a line of credit, and the number of credit cards you have. Some ways to improve your credit score include:

  • Pay down your debts and don't let bills pile up
  • Don't "max out" your credit limit; many financial experts recommend that you stick to utilizing 30% or less of your line of credit
  • Don't enroll in any new credit card programs
  • If you haven't established a strong credit history, establish a credit card and start using it regularly 

Consider the shorter duration and higher monthly payments to save money overall

Choosing a shorter loan term with higher monthly payments can lead to significant savings over the life of the loan by reducing the total interest paid. Yes, the reduced duration means you'll pay more money per month, but your bank account will thank you in the long run.

Want Additional Financial Tips for Buying a Car in St. Louis?

Bo Beuckman equips you with the knowledge you need to buy the best car for both your lifestyle and your wallet. Articles that will help you further financially prepare include:

  • What to Know About the Missouri Car Sales Tax - When getting a loan for your new vehicle, not every dollar you have should go toward the downpayment. After all, you'll need to worry about added expenses, like the Missouri car sales tax. This article will help Greater St. Louis residents know what to expect and how to find current tax figures. 



  • How to Sell a Car in Missouri and Transfer Your Title - Did you know that privately selling your car is a lot more complicated if you have an outstanding loan? We'll help you prepare for this and other aspects of selling your vehicle so you can proceed with confidence! 

Have Questions? Talk to Our Team

FAQ About Car Loans

What documents do I need to apply for an auto loan in St. Louis?

You'll need a valid driver's license or state-issued ID for proof of identity and recent pay stubs or tax returns to demonstrate your income. Additionally, prepare proof of residence, such as a utility bill or lease agreement, along with details about the vehicle, including its VIN, make, model, year, and mileage. Lastly, you'll need proof of auto insurance coverage as required by the lender.

Can I have a co-signer for my auto loan?

You can indeed have a co-signer for some auto loans. A co-signer can help you qualify for a loan or secure a better interest rate, especially if your credit history isn't strong. Just keep in mind that both you and your co-signer will be responsible for repaying the loan; any missed payments can impact both of your credit scores.

What is the difference between a secured and unsecured auto loan?

With a secured loan, the lender can take the car to recover their money if you miss enough payments. An unsecured auto loan, on the other hand, doesn't require collateral, so the lender relies on your creditworthiness to determine the loan terms, but it may come with higher interest rates.

Can I refinance my car loan later?

Yes, you can refinance your car loan later if you come across a better interest rate, want to change your loan terms, or would prefer a different St. Louis lender. This can help you by lowering your monthly payments, saving you money on interest, or letting you pay off the loan faster, making it easier to manage your finances.

Are there specific loans for first-time car buyers?

Some lenders offer first-time car buyers special loan terms with perks potentially including delayed first payments or rebates. For example, you can see what savings Ford offers to college students by clicking here.