Is it Possible to Obtain 0% APR on a Vehicle Loan?

For many individuals, shopping for a vehicle can seem like quite a daunting task – especially if they have never had to do so before. While it may seem like a lot of information to try and take in all at once, buying a car, truck or SUV can, in fact, be a pleasant experience, especially if you’ve done the necessary research ahead of time. 


One of the most frequently asked questions tends to be, “is it possible to obtain a vehicle loan with 0% APR?” The short answer to this is, “yes.” However, there may be a few qualifying criteria that will need to be met before a dealership will be willing to provide a deal like this to a buyer. 

Good Credit Score

If you intend qualifying for a 0% APR loan on your next vehicle purchase, you will have to ensure that your credit score is as high as possible. After all, not many dealerships will be willing to give discounted rates to anyone with a lower than average credit score. 

In cases where your credit score is lower than it should be, you may have to spend a few months building it up as much as possible before applying for any form of vehicle financing. This can involve repaying outstanding debts (if applicable) or even obtaining a secured credit card that will help build your score over time.

Once you’ve managed to increase your credit score, you’ll stand a far higher chance of being approved for a vehicle loan with 0% APR.

Stable Employment

Another factor that vehicle dealerships will consider before providing you with a 0% APR loan is whether you have stable employment or not. In most cases, you will have to have been at your current job for a minimum of three months before being considered for any type of vehicle loan, never mind one with 0% APR. 

You will also need to earn enough to afford the monthly installment payments, which is why dealerships will usually request proof of income from you. You will also have to provide proof of physical address and photo identification, as banks and other lending institutions will require this to process your loan application. 

Don’t Be Afraid to Shop Around

Although you may have a vehicle dealership close to where you live or work, they may not always be able to provide you with the best deal possible – especially where 0% APR offers are concerned. As such, you’ll need to be willing to shop around for a while if you intend to get a good deal on your next vehicle. 

Before choosing a specific vehicle, it’s recommended that you inquire about the availability of replacement parts – in cases of imported vehicles, these may not always be readily available, causing you to be without transport in the case of repair work needing to be done. In most cases, it’s a good idea to purchase a vehicle that is locally manufactured. This will ensure that you won’t experience any inconvenience when your vehicle needs to be serviced or repaired.