Car loans in Virginia are available from banks, credit unions, online financial institutions and auto dealerships. Each option has its pros and cons. Banks and credit unions generally have low rate options available, but they are not negotiable so the borrower must accept all the terms.

Financial institutions tend to have higher rates, but they are more willing to work with customers with a poor credit rating. Car dealerships often work with people who have a low credit score, and they offer the convenience of taking care of the entire auto purchasing process in one location, but they frequently have higher rates than other sources of automotive financing in Virginia.

Your credit rating, income and down payment amount are all factors in deciding the best venue to request auto financing in VA. There are several issues to consider when seeking a loan:

1. Determine your monthly budget prior to requesting Virginia automotive financing.

2. Decide if your Virginia car loan will go toward a new or used vehicle.

3. Choose the features you can't live without before you shop around.

Action Steps
The best contacts and resources to help you get it done

Receive Virginia car loans from banks or credit unions

Companies and individuals that have good credit may benefit from turning to a bank when they are in need of car financing in Virginia. Borrowers may be able to receive a lower rate if they can prove they have the ability to pay off a set amount each month. The monthly payment is usually non-negotiable. By acquiring Virginia auto financing through a bank, you will be able to greatly reduce the length of time you spend at a car dealership when making the actual purchase. Since you already have the money to pay for a vehicle, you do not have to go through their qualification process and work out details of a loan with the auto lot's financial advisers.

I recommend: Talk to the people at SunTrust Bank, Branch Banking and Trust or the Virginia Credit Union. SunTrust and Branch Banking also offer automobile leasing financing for fleets of cars, trucks and vans.

Request vehicle financing in Virginia from an auto dealership

Getting a car loan in Virginia from the same location where you purchase the automobile can be more convenient, because it allows you to complete the entire process at one time. Auto dealerships are often more willing to work with people and companies that have lower credit scores than most banks, as well as with individuals who are making their first major purchase. In exchange for the convenience, you may be faced with higher interest rates and end up paying more.

I recommend: Work with auto dealers like Bill Page Honda, Lindsay Automotive Group or Drive Time.

Utilize online financial institutions for Virginia vehicle financing

An online finance company will usually have higher rates than banks or dealers, but they are more willing to work with customers who may be a credit risk. This allows people who have bad credit to obtain a loan and purchase a vehicle. Online lenders also offer the advantage of obtaining financing from the comfort of your own home or office.

I recommend: Deal with online financial institutions such as Signal Financial or the Financial Federal Credit Union.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Investigate the car you want to understand how much it is really worth and negotiate with the dealership to get the best price possible.
• •  Be certain the Virginia auto financing policy you settle on has a monthly rate you can afford.
• •  Get all the specific terms of the Virginia car financing plan you choose in writing before you sign anything.
• •  Put down as much money as you can to lower your monthly payments.
• •  Pay more than the minimum monthly fee to avoid extra interest charges.