Can I Buy a Toyota if I Have Bad Credit?

October 6th, 2017 by

Hey, it can happen to anyone. Bad credit can creep up on anyone, no matter their social status, income, race, gender, or where they live. In fact, more than a third of Americans have a credit rating less than ‘good’. And whether your bad credit came as a result of poor decisions, a health issue, a relationship that went south, or a job loss, it is definitely going to be a rough time.

Despite having credit issues, you still need to get around. If you need a car, you’ve probably been worrying if you can get financing despite your credit situation. Can you buy a Toyota if you have bad credit?

Bad Credit Does Not Disqualify You from Buying a Toyota

There’s good news. Even though you have a credit rating that shows your struggles, you may still be able to finance a new Toyota. Toyota Financial Services is equipped to properly evaluate every loan application individually. That means that people with bad credit often still have access to the car loan they need to buy a new or used Toyota.

It Can Be a Challenge

Keep in mind that a car loan is a risk for a lender, and the level of risk determines the loan criteria. You may need to accept a higher interest rate for your Toyota loan than you’d been expecting, and the length of the term may be shorter than you wanted. As well, you may be required to come up with a down payment to secure your car loan if you have bad credit.

What to Consider

If you know your credit is less than perfect, there are a few thing you should consider.

  • Can you comfortably make the car payments? If it’s pushing your financial limits, you might need to look at a more affordable model where the overall loan amount is lower, thus lower payments.
  • Can you come up with a down payment? The more you can come up with, the less money you need to finance. You may need to come up with as much as 20 percent down to secure a loan, although it’s often much less than that.
  • Can you wait to buy a car? Sometimes, it’s best to wait awhile until your credit has mended a bit. Consider postponing your Toyota purchase until your bad credit has improved.


Whether you have bad credit or not, Jay Wolfe Toyota of West County is here to help. We will work hard to get you the car loan you need to get back on your feet. Call us today to get pre-approved for your loan.

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