Bank of America does offer auto loans, but you must apply through their auto lending program, not at a branch
Bank of America provides car loans for new and used vehicles through their Auto Loan product. You cannot walk into a branch and get approved on the spot — the process happens online or by phone, and the bank works with dealers and private sellers. The loan covers the purchase price minus your down payment, and Bank of America funds the loan directly to the seller or dealer.
The bank does not publish a single interest rate. Your rate depends on your credit score, the loan term you choose, the vehicle's age and value, and current market conditions. Rates typically range from around 5% to 11% for well-may have access to borrowers, but this varies. You can get a rate estimate online without affecting your credit score.
Key Takeaways
- Bank of America auto loans are available for both new and used vehicles, with terms ranging from 24 to 84 months depending on the vehicle age.
- You apply online or by phone, not at a branch, and the bank funds the loan directly to the dealer or seller rather than giving you cash.
- Your interest rate depends on your credit score, down payment amount, loan term, and the vehicle's age — the bank does not publish a single rate for all borrowers.
- Bank of America can refinance an existing car loan from another lender if you want to lower your rate or change your payment terms.
How to apply for a Bank of America auto loan
Start by visiting bankofamerica.com/auto or calling 1-800-432-1000 to request an auto loan. The bank will ask for basic information: your income, employment status, the vehicle you want to buy (or the one you own, if refinancing), and your Social Security number so they can check your credit. You can complete this online in about 10 minutes.
Bank of America will give you a rate estimate and a pre-approval letter that shows the maximum amount you can borrow. This pre-approval is good for 30 days and does not commit you to anything. You can then shop for a vehicle knowing your budget and rate. Once you find a car and agree on a price with the dealer or seller, you tell Bank of America the details, and they fund the loan directly to close the sale.
If you are buying from a private seller, the process is slightly different: you and the seller will need to coordinate with the bank on timing so the funds arrive when you sign the title. Bank of America handles the paperwork and lien registration — you do not need to visit a branch.
Interest rates and what affects yours
Bank of America does not publish a fixed rate because every loan is priced individually. Your rate depends on several factors working together. A higher credit score (typically 740 or above) usually gets you a lower rate. A larger down payment also lowers your rate because the bank's risk is smaller. A shorter loan term — say 36 months instead of 72 — often comes with a lower rate as well.
The vehicle itself matters too. Newer cars and those with lower mileage typically may have access to for better rates than older or high-mileage vehicles. Bank of America generally finances vehicles up to 10 years old for used cars, though this can vary. The current interest rate environment also plays a role — rates move up and down based on Federal Reserve policy and market conditions.
You can check your estimated rate online by entering basic information. This is a soft inquiry and does not lower your credit score. If you proceed with an application, Bank of America will do a hard credit check, which may lower your score by a few points temporarily.
Loan terms and monthly payments
Bank of America offers auto loan terms ranging from 24 months to 84 months (7 years), depending on the vehicle's age. A newer car may may have access to for an 84-month term, while an older used car might max out at 60 months. Longer terms mean lower monthly payments but more interest paid overall.
For example, a $25,000 loan at 6% interest costs roughly $460 per month over 60 months, or about $350 per month over 84 months. The difference in total interest is significant — you pay more interest the longer you borrow. Bank of America lets you choose the term that fits your budget, but shorter is always cheaper in the long run.
You can make extra payments or pay off the loan early without penalty. There is no prepayment fee, so if you come into money or want to reduce interest, you can pay down the principal at any time.
Refinancing an existing car loan with Bank of America
If you already have a car loan from another lender and want a better rate or different payment terms, Bank of America can refinance it. You apply the same way — online or by phone — and provide details about your current loan. Bank of America pays off the old loan and gives you a new one with their terms and rate.
Refinancing makes sense if your credit score has improved since you got your original loan, if interest rates have dropped, or if you want to extend or shorten your payment term. There is no fee to refinance with Bank of America. The main reason people refinance is to lower their monthly payment or reduce the total interest they will pay.
Keep in mind that refinancing resets your loan term. If you have already paid for three years of a five-year loan and refinance into a new 60-month term, you are extending your payoff date unless you make larger payments. Calculate the total interest before you decide.
What happens if you miss a payment
Bank of America reports missed payments to credit bureaus after 30 days. A single late payment can lower your credit score by 100 points or more. If you miss a payment, contact the bank immediately — many lenders will work with you on a one-time late fee waiver or payment plan if you call before the 30-day mark.
After 120 days of missed payments (roughly four months), Bank of America can repossess the vehicle. The bank will sell it at auction and apply the proceeds to your loan balance. If the sale price is less than what you owe, you are responsible for the difference — called a deficiency. Repossession also severely damages your credit for seven years.
If you are struggling with payments, contact Bank of America's loan servicing team before you fall behind. They may offer a temporary payment reduction, forbearance, or loan modification to help you stay current.
Comparing Bank of America auto loans to other lenders
Bank of America is one option among many for car financing. Credit unions, online lenders, and other banks all offer auto loans. Credit unions often have lower rates for members, especially if you have been a member for a while. Online lenders like LendingClub or Upstart may approve borrowers with lower credit scores. Traditional banks like Wells Fargo or Chase offer similar products to Bank of America.
The best approach is to get rate estimates from three to five lenders before you buy. Each soft inquiry (rate estimate) does not hurt your credit, and you have 45 days to shop around without multiple hard inquiries counting against you. This gives you real numbers to compare, not just marketing claims.
Bank of America's advantage is that if you are already a customer, you may have a simpler application process and the ability to manage your loan through your existing online banking. The disadvantage is that their rates are not always the lowest — you may find better terms elsewhere.
Frequently Asked Questions
Can I get a Bank of America auto loan if I have bad credit?
Bank of America does not publish a minimum credit score requirement, but they typically prefer borrowers with a score of 620 or higher. If your score is lower, you may still be approved, but your interest rate will be higher. A larger down payment can also improve your chances of approval.
How long does it take to get approved for a Bank of America car loan?
Pre-approval usually takes a few minutes to a few hours online. Full approval after you have selected a specific vehicle typically takes one to three business days. Once approved, the bank can fund the loan within one to two business days, depending on the dealer or seller's paperwork.
Do I need to be a Bank of America customer to get an auto loan?
No, you do not need to have an existing Bank of America checking or savings account to apply for an auto loan. However, having an account may streamline the process slightly.
What is the minimum down payment for a Bank of America auto loan?
Bank of America does not publish a minimum down payment requirement. However, a larger down payment (typically 10% to 20% of the vehicle price) improves your chances of approval and lowers your interest rate. You can ask about their current requirements when you request a rate estimate.
Can I refinance my Bank of America auto loan with another lender?
Yes, you can refinance a Bank of America auto loan with any other lender at any time. There is no prepayment penalty. Shop around for better rates if your credit has improved or if rates have dropped since you took out the original loan.