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Many prospective car buyers wonder whether they can finance a Toyota vehicle if their credit score is on the low end. If this sounds like you, learn about your viability for loan approval and how to improve your chances of loan qualification right here at Heritage Toyota Catonsville.

Loan Approval with Bad Credit

Our financing department gets most customers approved for a loan even with a lower credit rating. However, those with suboptimal credit may have to settle for loans with higher interests and greater stipulations and restrictions in their contract. This may include a higher down payment, a specific repayment length, or requiring a cosigner.

This is why we recommend customers get their scores up if it’s below a set threshold.

What’s the Ideal Credit Score?

There’s no uniform credit score minimum that all experts agree on. Most people suggest that borrowers have a FICO score of at least 620. Others may suggest a little higher, such as 650.

In any case, we recommend a score within the near-prime range, between 620 and 659. Preferably, try to get it in the prime range between 660 and 719.

Here are ways to raise your credit score:

  • Avoid using more than 30% of your credit card’s limit. You can achieve this by distributing spending between multiple cards or using cash.
  • Become an authorized user of a relative’s card who has a good score
  • Review your credit score and dispute any errors
  • Pay all bills on time, even if it means just paying the minimum

Finance a Toyota Vehicle at Our Finance Center

If there’s a model that interests you, stop by our Toyota finance department in Baltimore, MD for assistance. We consult buyers of all economic backgrounds. Find out what loan options are available to you.

Categories: Finance