If your credit score is in the low six hundreds (600-650 range), you are going to face some challenges when trying to secure a car loan. Lenders are very conservative when underwriting car loans because no one wants to take on bad debts by underwriting risky loans.
There are some things you can do today to help increase your chances of getting approved for a car loan with 600 credit score. We are going to cover these strategies in detail.
Why is Your Credit Score Only in the 600s?
We are not being mean; this is a legitimate question that merits a response when trying to finance a car loan with 600 credit score. You need to understand the cause of your low credit score because you are hurting yourself financially over the long term.
A low credit score means your borrowing costs are higher, which translates into less money in your wallet. With inflation increasing at a breakneck pace, no one can afford to pay high-interest rates.

Reasons for Low Credit Score
Not paying your debts on time or in full: We get it, life happens, but you still need to keep your obligations. Past behavior is usually the best indicator of future actions, so if you have a pattern of not paying your debts on time over a prolonged period of time, there is a pretty good chance you will miss payments in the future. You need to keep all of your accounts current going forward; if you need help, you can sign up for pre-authorized payments.
Carrying too much debt: This could be another reason why your credit score is on the lower end of the spectrum. What you need to do is keep your credit utilization rate below thirty percent (30%); this will have a dramatic impact on your overall credit score.

Not having the right mix of credit products, if you only have one credit card, your credit score can experience massive swings. You should open a few different credit cards and lines of credit; by having multiple tradelines, your credit score will be more stable and likely to improve as you use credit responsibly going forward.
Don’t Discount the Importance of Having a Stable Income
While we addressed the need to work on your credit, your income is another important variable that goes into underwriting a car loan.
If you have a reliable source of income and your debt to income ratio is less than forty percent, you should be able to get a competitive car loan, but you need to find the right professionals to structure the deal.
Where to Finance a Car Loan With 600 Credit Score
The best source of these car loans, bar none, is your local car dealership. These dealerships already know which lenders are going to give you the best deal.
Another benefit of working with a local dealership is their willingness to meet with you in person and discuss steps you can take to improve your credit score going forward.
You need to pick up your phone and reach out to the dealerships today; it is going to be the best decision you made this year.
Click here to get approved for your next car loan online today! we have a team of credit specialists ready to help you find a car loan suited to your needs and will work with you no matter your credit score.