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Find the Best Auto Loan Companies in Beaver Dam, WI

Over 16,000 people live in Beaver Dam, and many households have two cars. Auto loans help them afford a safe and reliable car to get to and from work and school and around town. WiscNews has partnered with ConsumerAffairs to create this guide by comparing loan terms and local reviews of 41 businesses and choosing six favorites from the top car financing companies in Beaver Dam.

Companies pay ConsumerAffairs to be authorized, and WiscNews and/or ConsumerAffairs may receive compensation when you click a link, call a number or fill out a form on this site.

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Compare Beaver Dam Car Financing Companies

Comparing auto loans in Beaver Dam

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One of the most important steps in finding the right auto loan for you is shopping around and getting multiple quotes from different lenders. Ask friends and family what lenders they’ve used to finance their cars, and check online reviews. As you do your research, ask about different aspects of the loan, such as:

  • Term length: The term length refers to how long you have to pay back your loan. The shorter your loan term, the greater your monthly payments. The most common term lengths are 24, 36, 48, 60, 72 and 84 months.
  • Down payment: Just like with a mortgage for a home, the more you put down upfront, the lower your monthly payments. If possible, take the time to save up money for a car loan down payment. Different lenders have different requirements for down payments.
  • Taxes and fees: Vehicle purchases come with taxes and fees. Fees to look at include origination fee, registration and title, late payment fee and prepayment penalty.
  • Interest rate: One of the most important things to consider when applying for a car loan is the interest rate. Your interest rate will depend on your credit history, your debt-to-income ratio, the loan amount, the loan term and whether you are buying a new or used car. The national average interest rate for car loans is between 4% and 5% at the time of publishing.

You can get an auto loan from a traditional bank, an online lender, your local credit union or the car dealership/vehicle manufacturer. No matter where you get your loan, it is important to calculate the total cost of the loan. You can use online calculators to determine how much you will end up paying on a particular loan.

For example, say you wanted to buy a used 2018 Chevy Malibu for $23,000. With an interest rate of 4% and a 60-month repayment term, you would end up paying back $25,440, with monthly payments of $424.

If you were to adjust the interest rate to 3%, you’d make monthly payments of $414, saving $600 over the life of the loan. The difference in interest rates can save you hundreds or even thousands of dollars, which is why it is important to get quotes from different lenders.

How to get a car loan in Beaver Dam

Before you reach out to a lender, there are a few things you can do to improve your chances at qualifying for a car loan:

  • Improve your credit score: Your approval for a car loan depends significantly on your credit score. It can be more difficult to qualify for a car loan if you have below-average credit, and you can negotiate more flexible terms if you have a higher credit score. Paying off debt or repairing credit are good ways to improve this score and qualify for better loan terms.
  • Have proof of income, identity and residence: When it's time to apply for a loan, you will be expected to produce evidence of your income, your identity and your place of residence. Having this documentation together, including bank statements and your Social Security number, when you go in to apply for a loan will save time.
  • Get preapproved: The preapproval process will help understand what you will qualify for when you do officially apply for a loan. Getting preapproved shows you how much you are eligible to borrow and the financing costs, and it shows the vehicle seller that you are serious about making a purchase.
  • Save for a down payment: Another thing you can do to speed up the loan qualification process and lower your monthly payments is save up for a substantial down payment. The more money you can put down upfront, the less you'll have to pay back and the lower your interest rates and monthly payments.

Beaver Dam auto loan FAQ

Can you get a car loan with bad credit?

Yes, many lenders specialize in offering car loans for people with bad credit. Remember that if you have bad credit, you will pay a higher interest rate and a greater annual percentage rate (APR) on the loan.

What is the average monthly car payment in Beaver Dam?

The average monthly payment for car loans in Wisconsin is $327 on used cars and $523 on new cars, according to AutoWise.

When should you refinance your car?

If your car payments are draining you financially, refinancing your loan may help you lower your monthly payment. If you're having trouble paying your existing car loan or if the interest rate is too high, ask your lender what your options are for refinancing.

What is a good APR for a car?

At the time of publishing, the national average interest rate for borrowers with fair to excellent credit on car loans is 4% to 5%. Anything lower than that is considered a good interest rate.

Beaver Dam car loan company information

Auto Approve

Auto Approve is an online marketplace that connects consumers with companies that can help them refinance their existing car loans. To be approved for refinancing, customers must have a minimum gross monthly income of at least $1,500, and the vehicle must be fewer than 10 years old and not have more than 150,000 miles. The minimum credit score requirement is 580. Loans through Auto Approve have 12- to 84-month terms.

Auto Approve Learn More (866) 563-8595

Auto Credit Express

Auto Credit Express is a car buying service that specializes in financing. It offers car loans to people with no credit or bad credit and those who have been turned down by traditional lenders. This is a popular option for those who have filed bankruptcy or have repossessions in their history. Auto Credit Express provides low-income loans, $500 down payment options and terms that range from 24 to 72 months.

Auto Credit Express Learn More

Summit Credit Union

Summit Credit Union offers financial guidance and products to make affording a car a reality for Beaver Dam residents. It provides savings and checking accounts, auto and motorcycle loans and credit cards. The company has discounts for car insurance, fixed- and adjustable-rate loans, and coverage for mechanical repairs. Summit Credit Union’s Beaver Dam branch is at 104 Frances Lane, Beaver Dam, WI 53916.

Summit Credit Union

Heritage Credit Union

Heritage Credit Union provides auto loans and auto loan refinancing. You can make no payments for 90 days, and you can get a 0.25% rate discount on auto loan purchases. The qualification process is fast and can be done completely online, Consumers can get preapproved before starting their car shopping experience. Used auto loan APR starts as low as 1.99% for 24 months. Heritage Credit Union has a branch at 827 Phillips Blvd., Sauk City, WI 53583.

Heritage Credit Union

Educators Credit Union

Educators Credit Union is a financial cooperative designed to help members of the community save money and qualify for loans at fair and reasonable interest rates. Apply in minutes online. Loans are available for used and new vehicles. You can also get leases and warranty service contracts. You must be a member of the credit union to take advantage of these services. Educators Credit Union’s closest location is at 960 W. Paradise Drive, West Bend, WI 53095.

Educators Credit Union

Guardian Credit Union

Guardian Credit Union offers auto loans and refinancing options for Wisconsin residents, with flexible payment terms. The APR for a used car or motorcycle with a term length of up to 36 months is as low as 2.99%. Consumers can download an auto buyers guide and use an online calculator to figure out monthly loan payments. Guardian Credit Union’s closest branch is located at W186N9559 Bancroft Drive, Menomonee Falls, WI 53051.

Guardian Credit Union