How to Get a Car Loan From Truist

(November 2024)

In This Article

If you’re thinking about buying a car and need some help with the money, getting a car loan from Truist could be a good option. Now, you might be wondering, “What exactly is a car loan, and how do I get one from Truist?” Don’t worry—here is a simple way to make it easy for you.

A car loan is when a bank or a lender gives you the money to buy a car, and you agree to pay them back over time, usually with some extra money added. That’s where Truist Bank comes in; it offers you car loans to help you buy the car you want, even if you don’t have all the money right now.

The first step is to check your credit score, which is a grade that tells the bank how good you are at paying back money. Don’t worry if it’s not perfect; Truist works with different types of credit. Next, gather some important papers, like proof of your income and maybe some information about the car you want to buy then you can now apply for your loan.

To get a car loan from Truist:

1. Understand What You Need

Understand exactly what you need and how much you can afford. Think about the kind of car you want—whether it’s new or used, how much it might cost, and how much you can afford to pay every month.

Truist may look at your financial situation to figure out how much it’s willing to lend you, including things like:

  • Your Income: How much money you make each month.
  • Credit Score: This is like a report card for how well you paid back loans or credit cards in the past. If you have a good score, it shows the Truist that you’re likely to pay it back on time.
  • Debts: Any other money you owe, like for a credit card, another loan, or even bills that you haven’t paid.

Ensure you have a clear picture of these things so that you may know what to expect when you start talking to Truist about a loan. If you’re not sure about any of these things, don’t worry; Truist can help you figure it out.

2. Check Your Credit Score

Your credit score is a number that shows how responsible you’ve been with paying off your debts in the past; that’s what Truist is going to check before it can give a loan. 

If your credit score is high, you have a better chance of getting a loan with a lower interest rate where you pay less money in the long run. If your score is low, you might get a loan, but the interest rate could be higher and you end up paying more over time.

Check your credit score yourself before you go to Truist to see where you stand. There are plenty of free services online that let you check it without hurting your score.

3. Gather Your Documents

Once you have a good idea of your financial situation and your credit score, it’s time to gather the documents you need to apply for the loan. Truist wants to see some specific paperwork to make sure everything checks out, such as:

  • Proof of Income: A recent pay stub, tax returns, or bank statements that show how much money you’re making.
  • Proof of Identity: A government-issued ID, like your driver’s license or passport.
  • Proof of Residence: A utility bill or lease agreement that shows where you live.
  • Vehicle Information: If you already have a specific car in mind, provide details about the car, like the make, model, year, and the VIN (Vehicle Identification Number). But if you’re buying from a dealership, these people can help you with this.
  • Insurance Information: You need to have car insurance before Truist finalizes your loan. If you don’t have insurance yet, get it lined up before you can drive the car off the lot.

If you don’t have all of these documents, don’t panic. Truist can work with you to help you gather what you need, but start collecting those documents early so you’re not scrambling at the last minute.

4. Get Pre-Qualify for a Loan

Before you even go to the dealership, get pre-qualified for a loan with Truist. Imagine getting a sneak peek at what kind of loan Truist might offer you that’s pre-qualified. Although it’s not a final approval, it gives you an idea of how much money Truist might lend you and what your interest rate could be.

To get pre-qualified, go to a Truist branch, call it on the phone, or apply online through its website. Provides some basic information, like your income, the kind of car you’re looking at, and how much you want to borrow. Based on that information, Truist may give you a rough idea of what it can offer.

The good news about pre-qualification is that it doesn’t affect your credit score, but it also gives you a better idea of what price range to look at when you’re shopping for a car.

5. Apply for the Loan

Once you see the car you want and you’re ready to make the purchase, it’s time to officially apply for the loan. If you’re already pre-qualified, this step may be a lot easier because Truist already has most of your information on file. You can apply for the loan online, over the phone, or in person at a Truist branch. 

  • Submit Your Application: Fill out an application form with your personal and financial information. This is what Truist uses to assess whether you qualify for the loan.
  • Wait for Approval: Once you submit your application, Truist review it and decide whether to approve your loan. This usually doesn’t take too long—sometimes you can get a decision the same day, but it might take a couple of days depending on your situation.
  • Get Your Loan Offer: If Truist approves your loan, it sends you an offer. This may include the amount it’s willing to lend you, the interest rate, and the terms of the loan (like how many months you have to pay it back). Make sure to review this offer carefully before you agree to anything.
  • Accept the Loan: If you’re happy with the loan offer, you accept it. Truist then works with you to finalize the details and send the money directly to the dealership if you’re buying a car or to you if you’re buying from a private seller.

6. Buy Your Car

With your loan approved and the money in hand, you’re ready to buy your car! Whether you’re at a dealership or buying from a private seller, you can now complete the purchase. If you’re at a dealership, they might handle most of the paperwork for you, but make sure to double-check everything before you sign.

Once the purchase is complete, drive away with your new car. But remember, you’re not done yet—you need to pay back the loan.

7. Tips for Getting a Car Loan from Truist

  • Know Your Budget: Before you even start looking for a car, have a clear idea of how much you can afford to spend each month on your car payment. Don’t forget to include insurance, gas, and maintenance in your budget.
  • Read the Fine Print: Before you sign anything, make sure you read all the details of your loan agreement. Understand what happens if you miss a payment, whether there are any penalties for paying off the loan early, and how much you may end up paying in total by the end of the loan term.
  • Consider a Co-Signer: If your credit score isn’t where you like it to be, or if you’re new to credit and don’t have much history, you might have a harder time getting approved for a car loan, or you may get stuck with a higher interest rate. But one way to improve your chances is to ask someone with better credit to co-sign the loan with you. This could be a parent, sibling, or close friend. When someone cosigns a loan, they agree to pay it back if you can’t. Having a co-signer can make you a less risky borrower in the eyes of the bank, which can help you get better loan terms. 
  • Consider a Larger Down Payment: The down payment is the money you pay upfront when you buy the car. The more you pay upfront, the less you need to borrow from Truist, which means lower monthly payments and less interest paid over the life of the loan. Plus, a larger down payment can sometimes help you get approved for the loan or get a lower interest rate because it shows the bank that you’re committed and have some financial stability.
  • Understand Loan Terms: Car loans come with different terms, which is just another way of saying the length of time you have to pay back the loan. Common terms are 36 months, 48 months, 60 months, and even 72 months. The longer the term, the lower your monthly payments may be, but you may end up paying more in interest over time. A shorter term means higher monthly payments but less interest paid overall, so choose a loan term that fits your budget but also helps you save money in the long run.

>>>GET SMARTER: YNAB vs Buddy Budgeting App

8. Types of Car Loans Truist Offers

New Car Loans 

Consider a new car loan if you’re looking to drive a car with all the latest features and you’re comfortable with a higher loan amount, plus the lower interest rate helps make it more affordable in the long run.

A new car loan is typically used to finance the purchase of a vehicle that’s just come off the production line or is a current model year vehicle with low mileage.

  • Lower Interest Rates: New car loans generally come with lower interest rates compared to used car loans. This is because new cars have a higher value and are less risky for the bank.
  • Flexible Loan Terms: You have a range of options for the loan term, usually anywhere from 36 to 72 months. Longer terms mean lower monthly payments but more interest paid over time.
  • Higher Loan Amounts: Since new cars are more expensive, Truist may offer higher loan amounts for these purchases.

Used Car Loans 

If you’re trying to save money by buying a car that’s a few years old, a used car loan could be the best option for you. The slightly higher interest rate is often offset by the lower cost of the car itself, making your overall loan smaller and more manageable. Whether you’re buying from a dealership or a private seller, Truist offers financing options to help you buy a preowned vehicle.

  • Slightly Higher Interest Rates: Because used cars have a lower value and may have more wear and tear, the interest rates for used car loans are usually a bit higher than those for new cars.
  • Loan Term Options: You can choose from similar loan terms as you would with a new car loan, but Truist might have slightly shorter terms for older vehicles.
  • Vehicle Age Limit: Some lenders, including Truist, may have restrictions on the age and mileage of the vehicle they’re willing to finance. Typically, they prefer vehicles that are no more than five to seven years old.

Private Party Auto Loans

If  you’re buying a car from someone you know or from an individual seller instead of a dealership, a private party auto loan is tailored for this kind of purchase. It gives you the financing you need while helping protect Truist’s investment in case something goes wrong.

  • Special Financing: Private sales don’t have the same safeguards as dealership purchases; private party auto loans often come with different terms and requirements.
  • Verification Process: Truist may require a vehicle inspection or appraisal to verify the car’s value before approving the loan. This helps ensure that the bank isn’t lending more money than the car is worth.
  • Slightly Higher Rates: Interest rates for private party loans might be a bit higher than dealership loans, reflecting the additional risk involved in private sales.

Auto Refinancing Loans

Are you struggling with high payments on your current auto loan, or you just want to see if you can get a better deal? Refinancing with Truist could save you money and give you more control over your financial situation.

  • Lower Interest Rates: Refinancing can lower your interest rate, which means you pay less over the life of the loan. It’s a great option if your credit score has improved since you first got the loan or if interest rates have dropped.
  • Adjustable Loan Terms: Allows you to extend the term of your loan to lower your monthly payments or shorten the term to pay off the loan faster and save on interest.
  • Debt Consolidation: If you have other high-interest debts, Truist might offer an option to consolidate them with your auto loan, simplifying your payments and potentially lowering your interest costs.

Lease Buyout Loans

Does the car you’ve been leasing seem like a baby to you and you don’t want to part with it? A lease buyout loan lets you turn that lease into ownership. It’s a good option if the buyout price is reasonable and the car is in good condition.

  • Buy the Car You Love: If you’ve grown attached to your leased car and don’t want to give it up, a lease buyout loan gives you the option to buy it instead of returning it to the dealer.
  • Competitive Rates: Lease buyout loans often come with interest rates similar to new car loans, especially if the car is relatively new.
  • Quick Processing: Since you’re already driving the car, the process is usually faster and simpler than buying a different car from scratch.

Recap

To get a loan car from Truist, know your income, credit score, and how much you can afford. Get everything you need together, like proof of income, ID, and vehicle information. See what Truist can offer you before you even go to the dealership. Submit your application, wait for approval, and use the loan to purchase your car. Stick to your payment schedule to keep your credit in good shape.

And don’t forget about the different types of loans Truist offers—new car loans, used car loans, private party loans, refinancing, and lease buyout loans. Each one is designed to fit different situations, so you can find the one that’s right for you.

Related Articles

Become a

S'witty Kiwi Credit Insider!

Get the latest credit tips and hacks in your inbox!