Why was my used car loan application rejected?

A used vehicle loan application can be denied for a number of reasons. Some common issues are credit rating, income, job stability, debt ratio, and repayment history.

Issues can also include incomplete or incorrect documentation, vehicle documentation discrepancies, the vehicle does not meet the eligibility requirement for either age or condition, the car’s value is below the lender's threshold, if the vehicle has outstanding loans, or if there are legal issues with the vehicle.

Reviewing your credit report, removing outstanding loans and ensuring accurate and legal documentation will help you in the long run. Use an eligible vehicle and double check paperwork documentation before submission. If your application is denied, make sure to inquire about the exact reason to help you address the concern in your next attempt.