OpenRoad Lending Auto Loans in 2023: Review and Considerations
Evaluate OpenRoad Lending's auto loans in 2023, assessing their features, benefits, and considerations for prospective borrowers.
OpenRoad Lending is a direct-to-consumer auto lender that offers a variety of loan products, including new and used car loans, refinance loans, and lease buyouts. OpenRoad Lending is known for its willingness to work with borrowers with bad credit, and it offers a variety of features and benefits with its auto loans, such as gap insurance and extended warranties.
Review
As of October 2023, OpenRoad Lending is offering auto loan rates starting at 5.99% APR for new cars and 6.99% APR for used cars. These rates are higher than rates offered by many other lenders, but they are competitive with other lenders that specialize in borrowers with bad credit.
OpenRoad Lending also offers a variety of loan terms, ranging from 24 to 72 months. This gives borrowers flexibility in choosing a loan that fits their budget and needs.
OpenRoad Lending is a good option for borrowers with bad credit who are looking for an auto loan. However, borrowers with good or excellent credit may be able to find a better deal on an auto loan from another lender.
Considerations
Here are some things to consider if you are thinking about getting an auto loan from OpenRoad Lending:
- Interest rates: OpenRoad Lending's interest rates are higher than rates offered by many other lenders. However, they are competitive with other lenders that specialize in borrowers with bad credit.
- Loan terms: OpenRoad Lending offers a variety of loan terms, giving borrowers flexibility in choosing a loan that fits their budget and needs.
- Fees: OpenRoad Lending charges a variety of fees, including an origination fee, a prepayment penalty fee, and a late payment fee. Be sure to read the fine print carefully before signing any contracts.
- Customer service: OpenRoad Lending has mixed reviews from customers. Some customers have praised the company for its willingness to work with borrowers with bad credit, while others have complained about poor customer service and high fees.
Overall, OpenRoad Lending is a good option for borrowers with bad credit who are looking for an auto loan. However, borrowers with good or excellent credit may be able to find a better deal on an auto loan from another lender.
Additional Tips
If you are considering an auto loan from OpenRoad Lending, be sure to shop around and compare rates and terms from multiple lenders. This will help you ensure you are getting the best deal. It is also important to read the fine print carefully before signing any contracts.
Here are some additional tips for getting an auto loan:
- Get pre-approved for a loan before you start shopping for a car. This will give you an idea of how much you can afford to spend and will make the buying process go more smoothly.
- Don't be afraid to negotiate on the price of the car. The salesperson is more likely to be willing to negotiate if they know you have pre-approved financing.
- Consider getting gap insurance. Gap insurance covers the difference between the amount you owe on your car loan and the car's actual cash value in the event of a total loss.
- Make sure you can afford the monthly payments. It is important to factor in the cost of insurance, gas, and maintenance when budgeting for a car loan.
OpenRoad Lending Auto Loan Review 2023.
Here is an overview of what OpenRoad Lending offers for auto loans in 2023:
- Interest Rates - Rates range from 5.24% to 21.54% APR, depending on applicant's credit profile, loan term, etc. OpenRoad specializes in financing for applicants with poor/fair credit.
- Loan Amounts - Minimum $5,000; maximum $75,000.
- Loan Terms - Loan terms range from 24 to 72 months. Longer terms are available but result in higher interest charges.
- Fees - No application or origination fees. No prepayment penalties. Late fees apply after a 10-day grace period.
- Credit Requirements - OpenRoad considers applicants with credit scores as low as 525. Proof of income required.
- Application Process - Fully online application with fast decision. eSigning of documents available. Funds disbursed same-day in many cases.
- Vehicle Restrictions - Vehicles must be under 10 model years old with under 120k miles. Certain brands or models may be restricted.
- Repayment - Monthly auto-debit payments are required. No option for in-person payments like cash or money order.
Overall, OpenRoad Lending specializes in financing for those with less-than-perfect credit. High interest rates reflect the risk, but they make auto loans accessible to more consumers.