What a credit score actually is
A credit score is a number, usually between 300 and 850, that summarizes your credit report. Your credit report is a record of how you have handled borrowing: whether you pay on time and how much you owe. The higher the score, the less risk a lender sees, and generally the better the terms you are offered.
Rough score ranges
- Excellent (about 720 and up). The best rates and the most flexibility.
- Good (about 660 to 719). Strong options and competitive rates.
- Fair (about 600 to 659). You can still finance; the rate is usually higher.
- Rebuilding (below about 600). Approval is still very possible. Terms depend more on income, down payment, and stability.
These bands are approximate. Different lenders draw the lines differently, and your score is only one part of the decision.
What lenders look at besides the score
- Income. Steady, provable income (pay stubs, bank statements) matters a lot.
- Down payment. More money down lowers the lender's risk and can improve your terms.
- Debt you already carry. How much of your income already goes to payments.
- Time on the job and at your address. Stability helps.
- References. Some lenders ask for personal references.
How your score affects your loan
Your score mainly affects two things: whether you are approved, and your APR (the yearly cost of the loan). A higher score usually means a lower APR, which means a lower payment for the same car. When you finance, you receive a credit score disclosure that shows the score a lender used and where it came from.
How we work with credit here
- Tim works with all types of buyers: first-time buyers, people rebuilding credit, and buyers who were turned down elsewhere.
- Down payment requirements depend on your credit and the deal. Stronger credit means more options and a lower down payment; rebuilding credit usually means a larger down payment helps.
- You do not need to be a U.S. citizen. We can work with an SSN or an ITIN. See financing a car with an ITIN.
- Pricing is transparent. You will know the full cost before you sign anything.
Simple ways to help your score before you apply
- Pay every bill on time. Payment history is the biggest factor.
- Pay down credit card balances if you can. Lower balances help.
- Avoid opening new credit lines right before you apply.
- Check your credit report for mistakes. You can get a free copy each year at annualcreditreport.com and dispute anything that is wrong.
Ready when you are
You can apply for financing online, or just message Tim to talk it through first with no pressure. See also buying a used car with bad credit and what to bring to get approved in one visit.