While other factors are also taken into account, your credit history and score play an important role when you apply for a loan. Banks primarily look at your credit score and credit history while making a lending decision. If you have bad credit, you might still stand a chance of availing a car loan if you check the following:

• You have a high income

• You have a stable employment history

• You are able to make a down payment of at least 20% or more of the total value of the car

You cannot expect to secure a car loan with the lowest interest rate if you have bad credit. It would be advisable to improve your credit score to at least 750 and above in order to avail a loan at more attractive terms.