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Best car-buying apps

8 best apps to search, compare and find cars.

With car-buying apps you can load up an app on your phone to compare models, financing, prices, dealerships and much more.

But with so many apps, it can be tough to find the most trustworthy ones and a platform that suits your needs. We compare dozens of car buying and vehicle research apps and narrowed it down to eight trustworthy applications.

8 best car-buying apps

  • Best for financing a car online: Carvana
  • Best for selling a car quickly: CarGurus
  • Best for preplanning a dealership trip: CarMax
  • Best for car reviews: Edmunds
  • Best for researching car values: Kelley Blue Book
  • Best for checking vehicle history reports: Carfax

Best for financing a car online: Carvana

Carvana

Go to site Read review
Loan amountNot stated
APR3.9% to 27.9%
Minimum credit scoreNo minimum credit score

Best for selling a car quickly: CarGurus

CarGurus

Go to site
Loan amountNot stated
APRVaries depending on the lender
Minimum credit scoreVaries

Best for preplanning a dealership trip: CarMax

CarMax used car financing

Read review
Loan amountNot stated
APR3.5% to 20%

Best for car reviews: Edmunds

Edmunds

Loan amountNot stated

Best for researching car values: Kelley Blue Book

Kelley Blue Book

Loan amountNot stated

Best for checking vehicle history reports: Carfax

Carfax

Loan amountNot stated

Best for seeing prices in your area: TrueCar

TrueCar

Loan amountNot stated

Best for checking safety ratings and recalls: SaferCar by NHTSA

SaferCar

Loan amountNot stated

How we picked the best car buying apps

We analyzed a number of factors while choosing the best car buying apps of 2022.

Factors include reputation and authority, user reviews, number dealership connections, inclusion of expert vehicle reviews, financing options, typical number of car listings, cost of the app, ease of use, design, speed while using the app, number of features and overall functionality.

How to prequalify for a car loan

Auto lenders are likely going to care most about your income, work history, credit score and debt-to-income (DTI) ratio.

Applying for a car loan is simple, in most cases. You’re likely to need a valid government ID, a few months of pay stubs, proof of employment, proof of residence and proof of auto insurance.

Some general requirements for an auto loan include:

  • Income and work history. Often, auto lenders require you to have full time employment, and a work history without large gaps between employment. Some auto lenders accept self-employment or 1099 income, but generally, lenders prefer employees with predictable monthly income.
  • Good credit. Many lenders consider a credit score above 670 to be “good.” However, there are also bad credit auto loans with more flexibility in credit score requirements.
  • Low DTI ratio. Your DTI ratio is your income compared to your monthly expenses. The lower your DTI ratio, the more available income you have. Many auto lenders look for a DTI ratio below 45%.

Do I need a down payment for a car loan?

It’s not always a requirement, but often, it’s a wonderful idea to have one.

If you have bad credit, plan for a down payment requirement — bad credit auto lenders commonly require at least 10% of the vehicle’s value. If you’re aiming for a new vehicle, having a 20% down payment is often advised, largely due to the fact that brand new vehicles can lose anywhere from 10% to 30% of its value within that first year of ownership.

Just a few of the benefits of down payments on a car loan include:

  • Increases approval odds. Bringing cash to the table tells a lender you’re financially stable enough to save up for a down payment, showing willingness to pay. The cash down also lowers the amount you need to finance, further increasing your approval odds.
  • Less interest charges. The less you borrow, the less interest you’ll need to pay over the course of the loan. As a bonus, you qualify for a shorter loan term, possibly getting you a lower interest rate as well.
  • Lowers the car’s LTV. LTV is loan to value ratio. Ideally, lenders want to lend you an amount that’s equal or less than the vehicle’s value. If the car you want to buy is priced higher than its actual market value (according to the lender, anyway), then having cash to put down on the car lowers the LTV and increases approval odds.
  • Stay above water. If you owe more than what your car is worth, it’s called being underwater or upside-down on your loan. It also means you have no equity, and if you were to sell the car for its value, you’d likely still end up owing money to the lender. You also can’t refinance a loan that’s underwater, either. Having a down payment can help keep you in an equity position over the life of the loan.

Where can I find a car loan?

Auto lenders are a dime a dozen, and there are five main categories of auto lenders.

  1. Direct lenders. These lenders include banks, credit unions and some online lenders. Direct lenders hand you the money for the vehicle “directly,” hence the name. Most borrowers use direct lenders for vehicle financing. However, direct lenders tend to prefer good credit scores, often 670 or higher, but they’re also known for competitive rates.
  2. Captive financing. Captive financing or “manufacturer lending institutions,” include lending arms like Ford Credit, GM Financial and Porsche Financial services. However, these lenders tend to prefer top-tier credit scores and focus on new vehicle lending and certified pre-owned programs. They often have the best deals when it comes to rates and leases.
  3. Dealership financing. The term dealer financing is thrown around a lot, but it means one of two things: The dealer is the lender, or the dealership is signed up with indirect lending institutions. Dealership financing is convenient, since it allows you to get a loan and vehicle in one place, but like captive lenders and direct lenders, expect to need a decent credit score with this route.
  4. Connection services. There are auto lender connection services, which are often free, just requiring your information. These platforms look for a dealerships or lenders in your area that you might qualify with. There are also connection services that help bad credit borrowers locate subprime lenders, such as CarsDirect
  5. Buy here pay here (BHPH) lots. Also called tote-the-note dealerships or in-house financing, these used car lots are known for skipping the credit check when you apply for a car loan. Since these dealerships aren’t associated with manufacturers or need to rely on third-party lending institutions, the dealers are the lenders themselves and set their own terms. However, know that lenders that skip credit checks often have very high interest rates, and you’re limited to used vehicles.

Compare car loans

Name Product USFCL Filter Values Minimum credit score APR Loan term Requirements
CarGurus
CarGurus logo
Varies
Varies depending on the lender
3 to 6 years
Varies depending on the lender
Go to site
CarsDirect logo
No minimum credit score
Varies by network lender
Must provide proof of income, proof of residence, and proof of insurance.
Save time and effort with this lending service specializing in beginner-friendly or subprime car loan.
Carvana logo
No minimum credit score
3.9% to 27.9%
1 to 6 years
18+ years old, annual income of $4,000+, no active bankruptcies
Get pre-qualified for used car financing and receive competitive, personalized rates.
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Bottom line

Car buying apps can be a valuable resource in a vehicle research process. However, you’ll still need to do some legwork in finding a lender that suits your needs. Compare the best seven auto lenders of 2022 before you head to a dealership.

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Written by

Editor, Banking

Bethany Hickey is the banking editor and personal finance expert at Finder, specializing in banking, lending, insurance, and crypto. Bethany’s expertise in personal finance has garnered recognition from esteemed media outlets, such as Nasdaq, MSN, Yahoo Finance, GOBankingRates, SuperMoney, AOL and Newsweek. Her articles offer practical financial strategies to Americans, empowering them to make decisions that meet their financial goals. Her past work includes articles on generational spending and saving habits, lending, budgeting and managing debt. Before joining Finder, she was a content manager where she wrote hundreds of articles and news pieces on auto financing and credit repair for CarsDirect, Auto Credit Express and The Car Connection, among others. Bethany holds a BA in English from the University of Michigan-Flint, and was poetry editor for the university’s Qua Literary and Fine Arts Magazine. See full bio

Bethany's expertise
Bethany has written 435 Finder guides across topics including:
  • Personal finance
  • Banking
  • Auto loans
  • Insurance
  • Cryptocurrency and NFTs

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