[Warning Government Action] Bank Of America Auto Loan Review (2020)
Bank of America has settled multiple lawsuits for fraudulent activities brought by the U.S. Government. One of these settlements was for overcharging our military members on their loan fees. For a big bank, BofA has a flexible new and used auto loan program that includes the option to be pre-approved. If you are already a member of The Bank of America Corporation, you may qualify for their rewards program and receive a lower interest rate on your next loan.
Approval to funding can take 1-2 days.
Solid rates for some loan programs.
EASE OF USE
Easy three step process from app to car.
Poor customers service and disorganization.
Credit Knocks Overall Star Rating:
Bank of America auto loan rates are competitive if you buy a new or used car through their network of franchise dealers or a used auto through CarMax®, Hertz® Car Sales, Enterprise Car Sales® and Carvana®.
They do not provide financing for independent dealerships or specialty vehicles like motorcycles, RV’s, or airplanes.
Customer reviews complain of long hold times and general disorganization within the Bank of America auto finance division.
If you are a customer, you may qualify for significant auto loan rate discounts if you are a Rewards Member.
Bank of America car loan rates for new and used vehicle purchases are enticingly competitive within their network, but consistent customer service issues and questionable business ethics make it impossible for us to recommend.
Guess What... It's Free To Apply
Who Is The Bank of America Corporation (BofA)?
The Bank of America Corporation can trace its roots back to when Amadeo Giannini founded the Bank of Italy in 1904, headquartered in San Francisco.
Through many mergers and acquisitions, BofA has become one of the largest financial institutions.
Today BofA is the 13th largest company in the world and has over 4,600 branches, 15,900 ATMs, and 205,000 employees.
They offer new, used, and refinancing for automobiles under ten years old with immensely customer-friendly car loan terms of 12 to 75 months.
What Makes Them Different?
BofA holds the dubious distinction of paying the largest settlement amount in history when they agreed to pay 16.65 billion to resolve multiple U.S. Government lawsuits for improper financial practices.
BofA also recently settled a class-action lawsuit brought by a troop of military members who were overcharged fees on their auto loans.
They offer a simple online three-step auto loan process that quickly takes you through the application, car selection, to loan funding.
Bank of America auto loan rates are extremely competitive if you select a car through their online vehicle services program.
If you bank with BofA or are a member of their subsidiary, MerrillLynch, you may be eligible for a lower car loan rate through their Preferred Rewards members program.
How Does Bank Of America Auto Loans Work?
Bank of America Auto loans work the same as most banks, today. You will have the option of speaking with your local bank's loan officer, or you can get approved for car financing online.
They offer a quick three step process and claim that they can give you a decision on your next auto loan in 60 seconds.
Meet The Guidelines
First you need to meet the general guidelines before you can apply and those are:
At least 18 years old, A current resident of the US or Canada, and Employed full-time or able to prove a guaranteed fixed income of at least $1,000 a month
Are You Buying New or Used
You need to figure out what type of financing you will need, are you buying a new car or a used car?
Will you be refinancing or are you looking for a lease buyout?
Once you know which option you are going for then you can go to the next step.
Follow The Process
Get Your Paperwork Together
Things The BofA Corporation will need are:
Keep in mind this is just a general list, BofA could need more or less information, just have at least the things above ready.
Time To Apply (Hard Inquiry)
Now that you know you meet the general requirements, you have all your documents together and you know that the dealer is in the BofA network, it's time to apply.
FICO allows you to shop around for the best auto loan rates for 30 days after your first inquiry. During this grace period you can apply for an unlimited number of auto loans without any additional inquiries being recorded to your credit file.
At this time you will probably see a hard credit inquiry hit your credit profile but don't worry, FICO will give you a 30 day grace period to shop for as many Wells Fargo Auto loan rates as you want and only show one hard inquiry will be recorded on your record.
It makes a lot of sense to get a Bank of America Pre Approval letter before going to the dealership to buy your car.
Many studies have conclusively shown that obtaining financing from the dealership is much more costly than having it in place before your purchase.
Review Your Offer
Be sure to review the offer from Bank of America Car Loans before you purchase.
You need to look at their requirements as well as the Bank of America car loan rates and if they will require a down payment or a co-signer. Just be sure to pick the best offer!
Look At Everything
Remember that a Bank of America Car Loan will have its own specific requirements so be sure to look at the offer with as much detail as possible.
Make sure you understand what you are paying for and keep referring to the original offer to make sure nothing changed from the time you accepted it to the time your loan was funded.
Pick The Best Offer
Once you choose an offer your loan can be funded by either bank deposit, ach, check or certificate.
Be sure to speak with your Bank of America Auto Finance loan officer about the date the funds are estimated to be available.
Bank of America Auto Online customer reviews indicate this estimated date may not be met.
Auto Credit Express Tools
Before you start your application process, I recommend you check out some of the tools offered by Auto Credit Express to get a better idea of how much loan you may qualify for and what the costs would be.
Bank of America Auto Loan Calculator
Before starting the auto loan process there are a couple of things you should familiarize yourself with and the Bank of America Auto Loan Calculator is a great tool.
You should be aware of the current interest Bank of America Car Loan rates, and the Bank of America car loan calculator will be helpful in determining how much of a loan and payment you can afford.
Checking Current Bank Of America Car Loan Rates
First you want to check out the interest rate chart; we put this one below to give you an idea of what the chart looks like, you should be sure to click here to see current Bank of America Car Loan rates.
The above chart gives you an idea of the starting interest rate based on how long you need the loan for.
As you can see, the longer time you plan to take to pay the loan off, the higher the rates become.
While the monthly premiums will be lower if you select a longer payoff period, you are going to end up paying much more interest.
Estimating Your Rate
Once you have an idea of what your starting interest rate might be you can now use the BofA Auto Calculator to help explore rates and payments.
During this step you will choose the type of loan , the loan amount, put in your credit type or actual credit score and then your Zip Code.
Once you complete this process you will see 3 different APR's, a low APR, an average APR and a high APR.
You can use the Average APR to help determine what your monthly car note may be.Finally, you will take the estimated loan amount with the Annual Percentage Rate or APR that you received from the "Estimate Your Interest" Tool to get a rate.
Figuring Out Your Car Note
This tool is going to help you understand how much you will need to pay on a monthly basis based on the loan term length you choose.
Bank of America Auto Loan Reviews
Bank of America auto loan reviews are mostly very negative.
Customer reviews regularly complain of poor customers serivice and disorganization in the Bank of America auto finance department.
Below are some of the Bank of America Car Loan reviews:
As part of the process of this review, we read countless hours of Bank of America Auto Loan reviews and while it is not uncommon for a large company to have negative reviews, these were especially troubling.
Looking closely, it doesn't take long to realize that BofA's customer service consistently shows a callousness to problems they have created and will make the minimal amount of effort necessary to correct a problem.
One example would be the number of complaints from people attempting to clarify auto loan fees that were not in contract but they were forced to pay anyhow.
If you are one of the lucky people who never has to contact Bank of America customer service than you will probably have a fine experience but if there are any problems along the way...
Below we have gathered the most trusted customer Bank of America Car Loan reviews from sites such as Yelp, Google and BBB for the Bank of America Auto Finance Division.
Bank of America Auto Loan Reviews
Customer Average Rating
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BofA Auto Loan BBB - Better Business Bureau
Bank of America Auto Loan BBB has had a file at the Better Business Bureau since 1949.
Bank of America has a A+ BBB rating but they do have a staggering 5,506 complaints in the past three years (as of 10/04/2019).
Bank of America BBB complaints tend to be financial related with claims of fees being charged outside of the contract or loan payments continued to be debited from customers accounts after being paid off.
The Bank of America BBB Reviews generally point to a company that wants your business so long as it is all of the online and of the automated variety.
BofA BBB reviews and customer complaints are taken seriously by the company as most receive a response which is why they have an A+ BBB rating.
Taking Action On An Auto Loan
Hopefully, you found this Bank of America Auto Loan Review helpful because getting an auto loan can be complicated and a time-suck if done incorrectly.
Now that you know there are dealerships ready and willing to work with you there is no reason to go without a car.
Getting a car loan is also part of establishing a different type of tradeline which overtime, will help increase your credit score.
Editorial Note: The editorial content on this page is not provided or commissioned by any financial institution. Any opinions, analyses, reviews, statements or recommendations expressed in this article are those of the author’s alone, and may not have been reviewed, approved or otherwise endorsed by any of these entities prior to publication.
Annual Percentage Rates (APR), loan term and monthly payments are estimated based on analysis of information provided by you, data provided by lenders, and publicly available information. All loan information is presented without warranty, and the estimated APR and other terms are not binding in any way. Lenders provide loans with a range of APRs depending on borrowers' credit and other factors. Keep in mind that only borrowers with excellent credit will qualify for the lowest rate available. Your actual APR will depend on factors like credit score, requested loan amount, loan term, and credit history. All loans are subject to credit review and approval. Discrimination based on gender is absolutely forbidden. Whether the loan is for her or for him, you should receive the same terms.