TD Bank auto loan alternatives |

TD Bank only offers dealer financing — not direct auto loans. If you’re in the market for a bank loan, these three lenders are solid alternatives — provided you have the credit to qualify.

Why doesn’t TD Bank have an auto loan option?

TD Auto Finance, a subsidiary of TD Bank, doesn’t offer loans directly to borrowers. Instead, it can help you get financing through a dealership. This makes TD Bank more like a loan servicer than a direct lender. And unlike with many other banks, you can’t secure financing online before visiting the dealer.

If you choose this route, your payments will be made directly to TD Auto Finance. But everything else, like your APR and loan term, will depend on the dealership.

3 alternatives to TD Bank auto loans

Although TD Bank has an auto loan of sorts, it pays to compare multiple lenders when making such a large purchase. These banks offer loans directly to borrowers, which means you’ll be able to walk into a dealership already knowing how much you can spend and what it will cost you.

Best for borrowers with good to excellent credit: LightStream

LightStream, a subsidiary of SunTrust, offers competitive rates and flexible terms for borrowers with good to excellent credit. You may be able to finance up to 100% of your new or used car’s value — possibly even the same day you apply.† And its rate beat program offers a 0.1% discount off your APR if you find a better deal — provided the other lender’s rate meets certain requirements.§

However, unlike the other lenders on this list, Lighstream doesn’t allow you to check what rates you might qualify for before filling out a full application.

  • How much you can borrow. $5,000 to $100,000
  • APRs. Competitive
  • Terms. Flexible
  • Eligibility requirements. Must have a good to excellent credit profile, be a US citizen or a permanent resident with a valid green card, have a valid Social Security number, credit card verification requested upon loan approval and have a valid US address.

Best for low starting rates: Bank of America

Bank of America allows you to finance both new and used cars — and refinance previous loans — all at a low starting APR. While you’ll need to have good to excellent credit to access the lowest rates and most competitive terms, Preferred Reward customers may be able to knock 0.5% off their APR.

Like TD Auto Finance, Bank of America has a network of authorized dealers to help streamline the buying process. However, there are some restrictions on where you can buy your vehicle and how old a used car can be.

  • How much you can borrow. $5,000 to $100,000
  • APRs. Starting at 3.79% APR
  • Terms. 1 year to 6.25 years
  • Eligibility requirements. Ages 18+, US citizen or permanent resident, buying eligible vehicle

Best for financing multiple types of vehicles: USAA

Unlike many other banks, USAA offers more than just traditional auto loans. On top of its new and used car loans and refinancing options, USAA also has leisure vehicle loans that can be used to purchase an RV, motorcycle, boat or other leisure vehicle. These come with low starting rates and long terms of up to 180 months for certain vehicles. And you could shave 0.25% off your APR by signing up for autopay.

Like Bank of America and TD Auto Finance, it also comes equipped with a car buying service to make the process that much easier. But you’ll need to be a member of the military or a military family to qualify.

  • How much you can borrow. Varies by vehicle
  • APRs. As low as 3.29%
  • Terms. 1 year to 7 years
  • Eligibility requirements. USAA member, US citizen or permanent resident, ages 18+

Does TD Bank offer similar loans?

Yes, TD Bank has a few other options you may be able to use to finance a vehicle. The TD Bank Express Loan allows you to borrow up to $25,000. And TD Bank’s unsecured personal loans and lines of credit have competitive rates for amounts up to $50,000 — including a 0.25% rate discount for signing up for autopay. However, because these are unsecured, you’ll likely face higher rates than you’d find with one of the auto loan providers listed above.

TD Bank also offers a personal loan secured by your savings trương mục, money market trương mục or CD. This may mean more risk for you, but there’s no hard limit on how much you can borrow, and you may be eligible for lower rates than its unsecured counterparts.

Compare more auto loan providers

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Bottom line

Though TD Bank isn’t a direct auto loan provider, there are other banks out there you can turn to for fast turnaround, low starting rates or multiple financing options. You’ll likely need good to excellent credit to qualify for the best terms, though.

Find out how these lenders stack up to the competition with our guide to car loans.

Frequently asked questions

  • Not necessarily. While TD Auto Finance only works with dealerships, the other banks listed above also allow you to finance private sales from an individual.

  • You’ll be able to make payments online, by phone or by mail. TD Auto Finance also allows you to set up automatic payments, but unlike many lenders, there’s no rate discount involved.

  • Most likely, yes. Banks are notorious for their strict eligibility requirements when it comes to financing, so you’ll need good to excellent credit to score the most competitive deal. While there are car loans designed for bad-credit borrowers, you’ll likely face higher rates and less flexible terms.

Your loan terms, including APR, may differ based on loan purpose, amount, term length, and your credit profile. Rate is quoted with AutoPay discount. AutoPay discount is only available prior to loan funding. Rates without AutoPay are 0.50% higher. If your application is approved, your credit profile will determine whether your loan will be unsecured or secured. Subject to credit approval. Conditions and limitations apply. Advertised rates and terms are subject to change without notice.
Payment example: Monthly payments for a $10,000 loan at 3.99% APR with a term of 3 years would result in 36 monthly payments of $295.20.
† You can fund your loan today if today is a banking business day, your application is approved, and you complete the following steps by 2:30 p.m. Eastern time: (1) review and electronically sign your loan agreement; (2) provide us with your funding preferences and relevant banking information; and (3) complete the final verification process.
§ After receiving your loan from LightStream, if you are not completely satisfied with your experience, please contact them. They will email you a questionnaire so they can improve their services. When they receive your completed questionnaire, they will send you $100. LightStream’s guarantee expires 30 days after you receive your loan.
LightStream reserves the right to change or discontinue their guarantee at any time. Limited to one $100 payment per funded loan. LightStream and SunTrust teammates do not qualify for the Loan Experience Guarantee.