How To Get A Car Loan With No Credit? (2022)

Hey there, two in a row article writer Frank here, coming at you with all the answers you will need for this question: how to get a car loan with no credit! And man, does that question sound quite a bit like a life hack! Is it even possible? Well, read more to find out!

how to get a car loan with no credit history
Read also: “How Soon Can You Refinance A Car Loan After Purchase? (2022)”

Like I said, it sounds unreal no? But, when a person says no credit, they are pretty much meaning to ask how to get a car loan with no credit history. And yeah, there are times when we all may want to purchase a car for ourselves, though our lack of funds to do so will put a stop to that real quick.

You may have heard that acquisitioning a car loan instead would make things a whole lot easier for you to do that, but unfortunately, you are still too much of a greenhorn in terms of credit score that you do not have an extensive credit history to prove your trustworthiness. Well, as the people at Good Mythical Morning say, let’s talk about that!

Specificities On How To Get A Car Loan With No Credit?

how to get a car loan with no credit history
Read also: “How Long Does It Take To Get Home Equity Loan? (2022)”

As previously said above, you may need a proper credit score to be eligible for a car loan. So you might be wondering about that, because if you did not know, lenders use what is called the FICO® Score to evaluate possible borrower applicants. However, when it comes to automotive applicants, lenders use what is called the FICO Auto Score, which is pretty much similar to the FICO score but putting a heavier emphasis on how the applicant has dealt with auto loan debts in the past, or even non-car debts.

So, while this may seem like it would make things harder on how to get a car loan with no credit, it might be good to think about because this means that there is most likely no need for a minimum required credit score to qualify for one. However, if your credit score is relatively low, or you have literally zero credit history at all, then your options will definitely get smaller in scope.

Requirements On How To Get A Car Loan With No Credit?

Read also: “Can You Refinance A Car Loan With The Same Bank? (2022)”

You will not have to worry about dealing with any illegal sort of things, because it is actually possible when you ask how to get a car loan with no credit. It will definitely be a bit more difficult than if you were to have just a pretty good credit score and or history, but that does not mean that it is not any less possible!

But! Like I said, it makes things harder. And more specifically, you will need to fulfill more requirements in order to get approved. Though when I say more, I just mean that you will need to pick the more alternative options to acquiring an auto loan than the standard process.

So here are some of the options that will assist you on how to get a car loan with no credit:

Get A Cosigner

Of course, if you do not have a great credit score or history yourself, you can rely on another person that will use their great credit score and history for you! This is usually done by a family or friend that is willing to cosign your loan application for you. Essentially, your cosigner is agreeing to cover your loan payments if you are not able to, reducing the risk to the lender than if they were to trust only you with no safety nets.

Put Down A Larger Down Payment

The more money you use to down pay a purchase on a vehicle will mean lesser money to finance for the lender, ultimately lowering the loss margin for the lender. However, not all lenders will be easily convinced by your large down payment, so that may be something you will need to keep in mind! You will need to prove to them that you are capable of paying back your loan!

Apply For A No-Credit Auto Loan

Luckily for you, some lenders actually have certain loan offers that do not necessarily need for the borrower to have their own fleshed out credit history or a great credit score. This is because some lenders just look at the bigger picture of your financial situation to determine your ability to pay back the money they will be lending you. They may also simply look at your income along with other monthly expenses to determine if you are worth lending money to.


Those are the three main ways on how to get a car loan with no credit, whether it be history or a relatively low credit score! However, remember that you still have the option to not go through with how to get a car loan with no credit, since in the long run, it might just be better to build and establish your credit score and history before thinking of applying for a car loan!