Best Auto Repair Financing: Fix Your Car Fast

Get approved today and get your car back on the road tomorrow

Headshot of Carol Pope
Written by
Carol Pope
Headshot of Xiomara Martinez-White
Edited by
Xiomara Martinez-White
Updated on: May 29, 2025
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Loans for auto repair financing at a glance

Best Egg: Best for getting approved with fair credit

6.99% - 35.99%

36 to 60 months

$2,000 - $50,000

580

0.99% - 9.99%

Pros
  • Accepts credit scores as low as 580
  • Can use your home’s fixtures as collateral, which can help you get approved
  • Offers a special payment plan that helps you get out of debt faster
Cons
  • Can’t take out a loan with another person to help boost approval odds
  • Will keep at least 0.99% - 9.99% out of your loan as an origination fee

What to know

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You only need fair credit to qualify for Best Egg. You can also use your house’s permanent fixtures as collateral. Collateral loans (or secured loans) are generally easier to get than other types of auto repair financing.

However, just because you can get approved with fair credit doesn’t mean the loan will be cheap. Every loan gets a mandatory origination fee, and your rate could be as high as 35.99%.

Consider signing up for Payment Pathways, a special payment plan that can help you pay your loan off early. The sooner you get out of debt, the less overall interest you’ll pay. This can help make up for a higher rate.

How to qualify

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You must meet the requirements below to qualify for a Best Egg loan:

  • Citizenship: Be a U.S. citizen or a permanent resident living in the U.S.
  • Administrative: Have a personal checking account, email address and physical address
  • Residency: Not live in the District of Columbia, Iowa, Vermont, West Virginia or U.S. territories
  • Credit score: 580+
See Personalized Results Read Our Expert Review

LightStream: Best for auto repair financing with no fees

8.49% - 25.14% (with autopay)

24 to 84 months

Loan Term Disclosure

Your loan terms, including APR, may differ based on loan purpose, amount, term length, and your credit profile. Excellent credit is required to qualify for lowest rates. Rate is quoted with AutoPay discount. AutoPay discount is only available prior to loan funding. Rates without AutoPay are 0.50% points higher. Subject to credit approval. Conditions and limitations apply. Advertised rates and terms are subject to change without notice. Payment example: Monthly payments for a $25,000 loan at 6.49% APR with a term of 3 years would result in 36 monthly payments of $766.11. © 2024 Truist Financial Corporation. Truist, LightStream and the LightStream logo are service marks of Truist Financial Corporation. All other trademarks are the property of their respective owners. Lending services provided by Truist Bank.

$5,000 - $100,000

Not specified

None

Pros
  • No fees whatsoever
  • Will beat competitors’ rates
  • Can get your loan the same day that you apply
Cons
  • Only approves good to excellent credit
  • Can’t check rates or eligibility without dinging your credit
  • Loans start at $5,000, so might not work if unless you have a major car repair

What to know

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LightStream rewards good credit by offering a lot of perks. You won’t have to worry about any fees with LightStream, which is rare for an online lender. If a competitor offers you a better rate, LightStream will beat it by 0.10 percentage points.

It isn’t easy to qualify for LightStream. It requires at least good credit and you can’t check rates without a hard credit pull. You also can’t change your due date. You won’t have a late fee for paying late, but late payments have a big impact on your credit score.

How to qualify

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LightStream doesn’t specify its exact credit score requirements, but you must have good to excellent credit to qualify. Most of the applicants that LightStream approves have the following in common:

  • At least five years of on-time payments under a variety of accounts (credit cards, auto loans, etc.)
  • Stable income and can handle paying their current debt obligations
  • Savings, whether in a bank account, investment account or retirement account
See Personalized Results Read Our Expert Review

OneMain Financial: Best for same-day loans if you have bad credit

18.00% - 35.99%

24 to 60 months

$1,500 - $20,000

500

$25 to $500, or 1.00% - 10.00%

Pros
  • Only need a 500 credit score
  • Can get your money within an hour after closing on your loan
  • 1,300+ physical locations if you want in-person help
Cons
  • High rates and expensive fees
  • Paying your loan off early might not save you money
  • Bigger loans might require your car as collateral (which may not work if yours is broken down)

What to know

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If you have bad credit and need to get your car fixed fast, check out OneMain Financial. You could get your money in as little as an hour as long as you have a bank-issued debit card. This is rare — it usually takes at least a day to get a loan with bad credit (the lender has more to review).

OneMain Financial’s is a bad credit lender, and its high rates and fees show it. OneMain calculates interest in a way that stops you from saving much on interest if you pay ahead.

How to qualify

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OneMain Financial isn’t very transparent about its personal loan eligibility requirements, but it’s possible to qualify even with a credit score as low as 500. Before closing on a loan, you’ll be required to provide:

  • Government-issued identification (such as a driver’s license or passport)
  • Proof of residence (such as a rental agreement or utility bill)
  • Proof of income (such as pay stubs or tax returns)

OneMain loans are not available in Alaska, Arkansas, Connecticut, District of Columbia, Massachusetts, Rhode Island, Vermont or in U.S. territories.

See Personalized Results Read Our Expert Review

SoFi: Best for same-day loans if you have good credit

8.99% - 35.49% (with discounts)

SoFi Pricing Disclosure

Fixed rates from 8.99% APR to 35.49% APR. APR reflects the 0.25% autopay discount and a 0.25% direct deposit discount. SoFi Platform personal loans are made either by SoFi Bank, N.A. or , Cross River Bank, a New Jersey State Chartered Commercial Bank, Member FDIC, Equal Housing Lender. SoFi may receive compensation if you take out a loan originated by Cross River Bank. These rate ranges are current as of 04/24/25 and are subject to change without notice. Not all rates and amounts available in all states. See SoFi Personal Loan eligibility details at https://www.sofi.com/eligibility-criteria/#eligibility-personal. Not all applicants qualify for the lowest rate. Lowest rates reserved for the most creditworthy borrowers. Your actual rate will be within the range of rates listed above and will depend on a variety of factors, including evaluation of your credit worthiness, income, and other factors. Loan amounts range from $5,000– $100,000. The APR is the cost of credit as a yearly rate and reflects both your interest rate and an origination fee of 9.99% of your loan amount for Cross River Bank originated loans which will be deducted from any loan proceeds you receive and for SoFi Bank originated loans have an origination fee of 0%-7%, will be deducted from any loan proceeds you receive.

Autopay: The SoFi 0.25% autopay interest rate reduction requires you to agree to make monthly principal and interest payments by an automatic monthly deduction from a savings or checking account. The benefit will discontinue and be lost for periods in which you do not pay by automatic deduction from a savings or checking account. Autopay is not required to receive a loan from SoFi.

Direct Deposit Discount: To be eligible to receive an additional (0.25%) interest rate reduction on your Personal Loan (your “Loan”), you must set up Direct deposit with a SoFi Checking and Savings account offered by SoFi Bank, N.A., or enroll in SoFi Plus by paying the SoFi Plus Subscription Fee, all within 30 days of the funding of your Loan. Once eligible, you will receive this discount during periods in which you have enabled Direct Deposit to an eligible Direct Deposit Account in accordance with SoFi’s reasonable procedures and requirements to be determined at SoFi’s sole discretion, or during periods in which SoFi successfully receives payment of the SoFi Plus Subscription Fee. This discount will be lost during periods in which SoFi determines you have turned off Direct Deposit to your Checking and Savings account or in which you have not paid for the SoFi Plus Subscription Fee. You are not required to enroll in Direct Deposit or to pay the SoFi Plus Subscription Fee to receive a Loan.

24 to 84 months

$5,000 - $100,000

680

0.00% - 7.00% (optional)

Pros
  • Most get their money the same day that they apply
  • Extra perks like free financial planning
  • Customer service available seven days a week through phone and live chat
Cons
  • Only approves good credit and higher
  • May ask for an origination fee if you want the lowest rate
  • Must borrow at least $5,000

What to know

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As long as you e-sign your documents before 6 p.m. ET on a weekday, chances are you’ll get a same-day loan. As a bonus, your loan will come with a free 30-minute consultation with a financial planner. This can be especially helpful if you weren’t expecting your car repair (and loan).

SoFi’s origination fee is optional, but you might have to pay one to get the lowest rate available. Origination fees make your loan more expensive, so there’s no guarantee that you’ll save money by paying one. Ask for offers that do and don’t include the fee and compare overall interest.

How to qualify

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You must meet the requirements below to get a loan from SoFi:

  • Age: Be the age of majority in your state (typically 18)
  • Citizenship: Be a U.S. citizen, an eligible permanent resident or a nonpermanent resident (a recipient of the Deferred Action for Childhood Arrivals — DACA — program or asylum-seeker, for instance)
  • Employment: Have a job or job offer with a start date within 90 days, or have regular income from another source
  • Credit score: 680+
See Personalized Results Read Our Expert Review

Upgrade: Best for mid-cost car repairs

7.99% - 35.99% (with discounts)

24 to 84 months

$1,000 - $50,000

580

1.85% - 9.99%

Pros
  • Loans start at $1,000
  • Don’t need perfect credit to qualify
  • Can add a second person to your loan to help get approved
Cons
  • Every loan gets an origination fee
  • Live chat is only available once you’ve finished your loan

What to know

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The key to using personal loans responsibly is only borrowing what you need. Otherwise, you’ll take on unnecessary debt and interest. Loans available through lending platform Upgrade start at $1,000. You can qualify with fair credit and if you need a boost, consider adding a co-borrower.

Be sure to account for an origination fee if you go with Upgrade. Some lenders only charge origination fees if you have lower credit. Upgrade charges them on every loan.

How to qualify

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To qualify for a loan through Upgrade, you must meet the requirements below:

  • Age: Be at least 18 years old (19 in some states)
  • Citizenship: Be a U.S. citizen, permanent resident or live in the U.S. with a valid visa
  • Administrative: Have a valid bank account and email address
  • Credit score: 580+
See Personalized Results Read Our Expert Review

Upstart: Best for small auto repair loans

Up to 35.99%

36 or 60 months

$1,000 - $50,000

300

Pros
  • Can borrow as little as $1,000
  • Accepts 300+, so could be a great alternative to a payday loan
  • As long as you pay on time, you can get up to five extra months to pay back what you owe
Cons
  • Won’t make sense for larger car repairs, since loans cap at $2,500
  • Doesn’t specify a starting rate, so you can’t easily tell if Upstart will be cheap for you

What to know

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If you think your only option is a payday loan, look into a short-term relief loan with lending platform Upstart. At 300, Upstart has one of the lowest credit score minimums around. Loans start at $1,000, but unlike a payday loan, you have a minimum of three months to repay. You usually only have two weeks with payday loans.

Upstart also has a much lower annual percentage rate (APR) than payday loans — which are typically triple-digit. But you’ll need to prequalify to see if this loan is right for you if you have solid credit. Upstart doesn’t specify minimum rates on its short-term loans.

How to qualify

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Upstart has transparent eligibility requirements, including:

  • Age: Be 18 or older
  • Administrative: Have a U.S. address, personal banking account, email address and Social Security number
  • Employment: Have a job or job offer that starts within six months, or have regular income
  • Income: Earn at least $12,000 annually
  • Credit-related factors: No bankruptcies within the last three years, fewer than six inquiries on your credit report in the last six months and no current delinquencies
  • Credit score: 300+ (unless you’re an eligible college student or graduate, in which case Upstart could approve you with no credit)
See Personalized Results Read Our Expert Review

What is auto repair financing?

If you’re looking to fix your car and spread the cost over time, you need auto repair financing. There are a few different types of auto repair financing, but this article mostly focuses on auto repair loans, a type of personal loan.

A personal loan comes as a lump sum of cash, usually by direct deposit and sometimes the same day that you apply. You’ll pay off what you borrowed over time (usually 12 to 84 months), and your monthly payment will always be the same.

On this page:

Auto repair loans pros and cons

ProsCons

 Interest rates are usually lower than credit cards if you have excellent credit

 Applications are quick, easy and usually entirely online

 Can be easier to budget since payments are always the same

 High interest rates for bad credit (although you still might be approved)

 Some loans come with an origination fee

 Won’t come with a 0% APR period or rewards like with some cards
Our verdict: An auto repair loan is usually a better choice than a standard credit card — as long as you have excellent credit. The average rate on a personal loan for 720+ credit scores is 17.71%. Credit cards, on the other hand, have a current average rate of 24.28%.

If you have bad credit, you can still get an auto repair loan, but be prepared for high rates. Also, the worse your credit, the more likely it is you’ll have an origination fee. This is an amount the lender will deduct from your loan before sending it to you.

Always use a personal loan calculator to see if the overall cost of the loan is worth it.

How to find auto repair financing with LendingTree

Shopping around for an auto repair loan on LendingTree can save you $1,659 on average. That’s huge — the average car repair bill is $838 according to Kelly Blue Book (KBB). Here’s how it works.

Fill out one form

Take two minutes to answer questions about you and the money you need. We’ll take care of the rest. It’s free, simple and secure.

Shop your offers

Lenders will compete for your business. We’ll gather offers from up to five lenders from the nation’s largest lending network.

Get paid in as little as 24 hours

Choose the offer that works best for you and finalize your loan directly with the lender. You could get your money as soon as tomorrow.

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Alternatives to auto repair loans

Type of financingWhat it isWhy we like itWhy we don’t like it
0% APR credit cardA card that offers a zero-interest promo period (usually six to 21 months)
  • No interest as long as you pay balance during promo period
  • Some 0% APR cards also earn rewards
  • Typically need a 660+ credit score
  • Need to pay balance quickly to get zero interest
Rewards credit cardA card that lets you rack up cash back or airline miles
  • Could earn hefty rewards for bigger repair bills
  • Potential for future rewards with responsible use
  • Typically need a 660+ credit score
  • Might have an annual fee
Buy now, pay laterApps that let you split purchases into payments, usually four over six weeks (including one down payment)
  • Usually won’t pay interest
  • Typically uses a soft credit check
  • On-time payments might not help your score, but late payments could damage it
  • Fees can add up, especially with overuse
Paycheck advance appAn app that lets you access your money before payday
  • Can get free advances if you’re willing to wait
  • No credit checks
  • Same-day advances usually require a fee
  • Advance amounts can be small
Repair shop financingA branded credit card offered by your repair shop (Goodyear and Firestone, for instance)
  • Could get a 0% APR promo period
  • Might unlock exclusive offers with that particular repair shop

  • Interest may be backdated if you owe at the end of promo period
  • Might only be accepted at repair shops

How to decide if it’s worth fixing your car

You should decide if the repair is worth it before fixing an older car. It might make more sense to buy a new car, but it depends on how much your car is currently worth and how much life it has left.

  • Get car repair estimates: Find some repair shops with good reviews. Word of mouth is best — consider asking a local Facebook group. Then, get two or three repair estimates.
  • Find your car’s value: Use KBB and Edmunds to get an idea of how much your car is worth, minus depreciation. For the most accurate results, provide your vehicle identification number (VIN) and be honest about the car’s condition.
  • Compare cost to value: If the car costs more to fix than it’s worth, fixing it won’t make sense. Other than that, it’s up to you to decide if repairs are worth it. Has your car been falling apart for a while? Don’t sink money into a car that will continue to give you trouble.
  • Check auto loan rates: The average rate for a new car loan is 6.73%, according to Experian’s most recent data. For used cars, it’s 11.87%. If you have good credit, the peace of mind that comes with a reliable ride might be worth the car payment.

3 ways to get approved for auto repair financing with bad credit

1. Add a co-borrower

Getting a joint loan with another person can help if you have bad credit. It’s best if your co-borrower has excellent credit. Missed payments affect their score as well as yours, so stay true to your payment schedule to avoid tension.

2. Offer collateral

Secured loans need collateral and are generaly easier to qualify for. Lenders probably won’t accept your broken-down car as collateral due to its reduced value. But Best Egg lets you use your home’s fixtures, and banks or credit unions might let you borrow against your savings.

3. Use a loan marketplace

When you shop for new car insurance, you probably contact multiple companies for quotes. You should do the same for loans since — lender has a different way to calculate rates. Get access to our exclusive lender network and let LendingTree do the shopping for you.

Avoiding predatory auto repair financing

Skip loans with APRs above 36%. You should also have at least a few months to pay back what you borrowed. Otherwise, you could be at risk for predatory lending.

Payday loans: Payday loans usually have triple-digit APRs, and your entire loan will be due on your next payday, usually by autopay. If the money isn’t there when the payday lender attempts the withdrawal, expect fees from your bank and the lender.

Title loans: A title loan uses your car as collateral. So do some personal loans. But title loans usually have extremely high interest and repayment terms between 15 and 30 days. Most people end up getting a second title loan to pay the first to avoid getting their car repossessed.

High-interest installment loans: A high-interest installment loan is a personal loan, but with super-high rates and shorter repayment terms. Tribal loans are an example, which can carry APRs as high as 800%.

How we chose the best auto repair loans

We reviewed more than 30 lenders to determine the overall best car repair personal loans. To make our list, lenders must offer TK loans with competitive annual percentage rates (APRs). From there, we prioritize lenders based on the following factors:

  • Accessibility: Lenders are ranked higher if their personal loans are available to more people and require fewer conditions. This may include lower credit requirements, wider geographic availability, faster funding and easier and more transparent prequalification and application processes.
  • Rates and terms: We prioritize lenders with more competitive fixed rates, fewer fees and greater options for repayment terms, loan amounts and APR discounts.
  • Repayment experience: For starters, we consider each lender’s reputation and business practices. We also favor lenders that report to all major credit bureaus, offer reliable customer service and provide any unique perks to customers, like free wealth coaching.

According to our standardized rating system, the best auto repair loans come from: Best Egg, LightStream, OneMain Financial, SoFi, Upgrade and Upstart.

Frequently asked questions

No, your car insurance typically won’t pay if your car breaks down due to wear and tear or a manufacturer defect. Instead, car insurance pays out if your car is involved in an accident.
 
There are some rare times when insurance may pay for breakdowns, but it requires extra coverage. For instance, you could be covered if you had a Geico policy with mechanical breakdown insurance. Breakdown coverage is rare and only offered by a few companies.

If you can’t afford to pay for car repairs, you have a few finance options:
 

  • Auto repair loan: Best if you have 670+ credit, but can qualify with a lower score
  • 0% APR card: Best if you can pay off your balance quickly
  • Rewards card: Best if you plan on needing more repairs in the future
  • Buy now, pay later: Best if you can pay in four installments
  • Paycheck advance app: Best if you have bad credit and have a small emergency car repair
  • Repair shop financing: Best if the repair shop offers 0% special financing or discounts

Yes, you can use Affirm for car repairs. It’ll be easier if the repair shop is an Affirm partner but if it’s not, you can create a virtual card. You can use an Affirm virtual card anywhere that accepts Visa.