If you need a car loan in Maine, your credit score should be around 660 or above in order to secure a low interest rate and a term no longer than 60 months.

Car insurance and loan super app Jerry is here to guide you throughout the car loan process in Maine.

In this article, we’ll take you through the steps of getting a loan, help you compare lenders, and explain how your credit score works when it comes to finding an auto loan in the Pine Tree State.

How to get a car loan in Maine

Unless you’re in a position to pay in full for your new car, a traditional auto loan is the best way to finance your car purchase in Maine. With a loan from a bank, a credit union, or a dealership, you can knock out the full value of the car in just a few years.

Here’s what to expect when you take out a car loan in Maine:

You will typically make a down payment of at least 10% of the car’s total value.
Choose a loan term (length of your loan) and negotiate an interest rate with your lender.
Make your payments toward the loan principal (the total amount you need to pay back) in monthly increments over the course of the loan term.
You will also be charged monthly interest (or APR).

Three main factors contribute to the details of your loan:

The make, model, year, and price of the car you choose to purchase
Your credit score
The loan term you choose

Check out the table below to see what your APR and monthly payment could look like with a Maine car loan.

Credit Rating

Car Make	Average Annual Interest Rate	Average Monthly Payment
ACURA	8.1	$360
ALFA ROMEO	8.16	$361
ASTON MARTIN	8.16	$361
AUDI	8.27	$362
BENTLEY	8.16	$361
BMW	8.67	$365
BUICK	8.19	$361
CADILLAC	8.43	$363
CHEVROLET	8.19	$361
CHRYSLER	8.45	$363
DODGE	8.29	$362
FERRARI	8.16	$361
FIAT	8.21	$361
FORD	8.19	$361
GENESIS	8.16	$361
GMC	8.13	$360
HONDA	7.98	$359
HYUNDAI	8.19	$361
INFINITI	8.29	$362
JEEP	7.98	$359
Jaguar	8.16	$361
KIA	8.37	$363
LAMBORGHINI	8.16	$361
LEXUS	8.13	$360
LINCOLN	8.27	$362
LOTUS	8.16	$361
Land Rover	8.16	$361
MERCEDES-BENZ	8.16	$361
MINI	8.16	$361
MITSUBISHI	8.29	$362
Maserati	8.16	$361
Mazda	8.16	$361
NISSAN	8.24	$361
POLESTAR	8.16	$361
PORSCHE	8.28	$362
RAM	8.19	$361
ROLLS-ROYCE	8.16	$361
Subaru	8.16	$361
TESLA	8.56	$364
TOYOTA	7.98	$359
VOLKSWAGEN	8.19	$361
VOLVO	8.01	$359

Ready to search for a car loan in Maine? Here are the next steps.

Check your credit

Start by reviewing your credit score. You’ll most likely need a score of at least 660 to score a loan with a good interest rate. If your score is above 700, you may qualify for an interest rate of 3% or lower. The national average, however, is more like 5%.

Use the table below to estimate your average interest rate and monthly payment based on your credit rating.

Credit Rating

Loan Terms	Average Annual Interest Rate	Average Monthly Payment
24	10.59	$694
36	8.42	$470
48	7.92	$363
60	7.87	$300
72	8.14	$261

Compare lenders

Never take the first loan offer that comes your way. If you’re buying your car from a dealership, the dealer may offer to handle the loan, which sounds convenient—but you could be locking yourself into a loan agreement that’s more attractive for the dealer than it is for you.

Always compare offers from at least three lenders. You want to find a lender that gives you a good (i.e. low) interest rate. In addition to a low rate, it’s important to take into account things like approval odds and customer service.

Choose your loan term

One significant component of your car loan that’s negotiable is the loan term—i.e., the period of time over which you’ll pay off the balance. The average car loan term in Maine is between 60 months and 72 months.

The longer the loan term, the lower your monthly payments will be—but you’ll pay more in interest, which makes this option more expensive in the long term. Strive for the shortest loan term that works best with your finances, preferably no more than 60 months.

Here’s how your APR and monthly payment could change based on your loan term in Maine.

Credit Rating	Average Annual Interest Rate	Average Monthly Payment
Fair	15.4	$410
Good	8.42	$361
Very Good	5.11	$341
Excellent	3.89	$333

MORE: How to buy a car from a private seller

Get preapproved

When possible, get pre-approved for a car loan. If you’re pre-approved, you can more confidently navigate your way through the car buying process.

Once you know the loan amount you’re approved for and the monthly payment you’ll be making, you can negotiate a sweeter deal on your new car.

Can you get a car loan in Maine for a used car?

Yes, it’s possible to get a car loan for a used car, but your options may be limited. Lenders that offer loans for used cars often:

Charge higher interest rates
Have restrictions on the car’s age
Have a minimum loan amount that may be higher than what you need—if this is the case, a loan from a credit union might be your best option

Want to see how the age of your car could affect your car loan in Maine? Take a look at this table.

Car Make

Car Year	Average Annual Interest Rate	Average Monthly Payment
2021	7.48	$305
2020	7.81	$308
2019	7.98	$308
2018	7.83	$307
2017	8	$308
2016	8.13	$309
2015	8.29	$310
2014	8.27	$379
2013	8.33	$380
2012	9.1	$510
2011	9.1	$510
2010	9.1	$510

MORE: Lemon law in Maine

Maine car loan calculator

Now that you’re an expert on how to secure a great car loan, it’s time to run the numbers!

With Jerry’s car loan calculator, you can determine the amount you might pay for a car loan in Maine and see what your interest rate will look like based on your credit score, loan term, loan amount, and car make.

These values are averages. Plus, keep in mind that your interest rate and loan term are negotiable, as are any additional fees or penalties. Use this tool to set yourself up scoring the best deal coming out of loan negotiations!

Car Make

Credit Rating

Loan Terms

Loan Amount

Average Annual Interest Rate	Average Monthly Payment
8.2	$361

MORE: What is a good interest rate on a car?

How to find affordable car insurance in Maine

While auto financing will allow you to purchase your new or used car, you can’t actually hit the road until you buy car insurance that fulfills the Maine minimum car insurance laws.

Let the super app Jerry lend you a hand on this next step.

As a licensed broker, Jerry searches for and analyzes quotes from over 50 top insurance companies in seconds. Look over your quotes and choose the rate that works best for your budget. Then, let Jerry take care of the rest.

Jerry will handle all the phone calls and paperwork to get you set up with your new low rate and help you cancel your old policy.

“Just for state minimum liability, I was getting quotes from $70 to over $100/month until I found Jerry. Now my car insurance is under $30/month, or $140 for 6 months. Thank you, Jerry!” —Federico S.

FAQs

What credit score is needed to buy a car in Maine?

Many lenders will require a credit score of at least 660 when you apply for a car loan. For lower credit scores, you can still find a car loan, but your options will probably be more limited.

Will a bank give me a loan for a used car?

Many banks do offer loans for the purchase of used cars, although they typically have regulations. For example, many lenders won’t finance the purchase of an extremely old car or an extremely inexpensive car.