LendingTree’s Auto Loans Methodology: How We Evaluate and Score Lenders
Any time you decide to invest in a big expense, you’re going to shop around for the best prices. Taking out an auto loan is no different. At LendingTree, we’re here to arm you with the knowledge and best practices you need to compare loan offers.
To do that, we’ve created an objective methodology that is applied equally to every lender we review. Based on our editorial team’s expertise and real-world experience, we review the top lenders in the car loan industry for transparency and the overall customer experience.
Specifically, we evaluate factors like accessibility, cost, flexibility and trust. Our research is independent of advertising relationships, and we contact lenders directly to guarantee the most accurate information.
Our methodology covers a wide range of auto loan products, including car, boat and RV loan financing and refinancing.
Here is how we choose the best auto loan lenders and provide you with auto lender reviews.
Our methodology categories
Before recommending a lender, we assess auto loan companies based on the following four categories that we believe are most important:
Accessibility and eligibility (30%)
We evaluate customer convenience and how easy it is to qualify.
If a lender is accessible to users in most U.S. states, offers soft credit checks, is available to people without good credit, is transparent about its loan requirements and provides quick approval and/or funding, they will score higher.
Rates, fees and pricing transparency (30%)
We compare borrowing costs that determine a lender’s affordability.
We rate lenders higher if they offer competitive starting APRs, are clear about the fees they charge, allow borrowers to skip fees, and provide ways to reduce borrowing costs (such as APR discounts).
Loan flexibility and coverage (20%)
We look at how much flexibility lenders offer in their loan terms.
We favor lenders that offer a wide range of repayment terms and loan amount options, and are transparent about their requirements for the vehicle you are financing.
Customer experience and trust (20%)
We research how companies treat borrowers after they take out a loan.
We are more likely to recommend lenders with clearly accessible customer service, useful digital tools, repayment flexibility (such as hardship support) and trustworthy reputations.
Our methodology process
To provide you with the most accurate information, our editorial team of experts gathers data from lenders’ websites or contacts them directly on a regular basis. When helpful, we even walk through the application process ourselves to better understand the borrower experience.
Once we have the data we need, we review each lender based on the criteria they do (or don’t) provide using our methodology system.
All lenders are evaluated based on the same independent editorial standards. Our recommendations are built on a consistent, consumer-first evaluation model — not advertising relationships. Lenders cannot pay to influence our rankings or recommendations.
For more information, review our editorial standards.
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