Bank of America Auto Purchase, Refinance and Lease Buyout Loans: 2023 Review
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Auto loan reviews
New auto purchase loan
Used auto purchase loan
Auto loan refinancing
Auto lease buyout loan
The bottom line:
Best for borrowers who prefer working with a large, well-established bank that offers a rate discount based on high balances.
New auto purchase loan review
Not yet rated
Pros
Apply online, by phone, in a financial center or at an authorized dealership.
Offers rate discount for customers with qualifying account relationship.
Usually provides loan decision within 60 seconds of application submission.
Provides Spanish version of website.
Cons
Social Security number required to submit initial application.
Rate discount available only with deposit balances of $20,000-plus.
Best for applicants who qualify for a Bank of America Preferred Rewards rate discount or want the convenience of purchasing and financing a new car at a Bank of America-authorized dealer.
Full Review
Bank of America offers new and used car dealer purchase loans, refinance loans and lease buyout loans. It also offers private-party purchase loans, which typically have a higher interest rate than dealer purchase loans. The Bank of America website provides current rates for each type of auto loan it offers, but the rates displayed are “as low as” rates available only for applicants with excellent credit. Applicants will see their actual rate quote upon loan approval.
Through a Preferred Rewards program, Bank of America customers who have a Bank of America checking account and combined, qualifying deposit balances can lower their interest rate on new loans for auto purchase and refinance. The rate reduction amount depends on which of three Preferred Rewards tiers a customer falls into. To meet tier requirements, a customer must have a three-month combined average daily balance as listed below in qualifying Bank of America deposit accounts and/or Merrill investment accounts.
Gold tier requirement of $20,000 = 0.25 percentage point reduction.
Platinum tier requirement of $50,000 = 0.35 percentage point reduction.
Platinum honors tier requirement of $100,000 = 0.50 percentage point reduction.
Applicants should be aware that the interest rate discount is not reflected in the rates Bank of America publishes on its website. Also, the Preferred Rewards rate discount is not available if a borrower applies at a dealership.
Bank of America provides a number of ways to apply for an auto loan. In addition to using the online application, borrowers can apply at more than 4,000 financial centers and thousands of dealerships across the U.S. An authorized dealer locator is available on the Bank of America website. When applying at a Bank of America authorized dealer, car buyers finalize loan paperwork and their title transfer at the dealership.
Bank of America may be a good fit for those who:
Carry higher deposit balances: Borrowers with at least $20,000 in combined, eligible Bank of America deposit accounts can qualify for an auto loan rate discount.
Want to apply at a dealership: Bank of America works with dealerships across the U.S., so borrowers can finalize all loan paperwork and the title transfer at an authorized dealer. Note that the Preferred Rewards rate discount is not available when applying at the dealership.
Want the convenience of loans and accounts at one bank: Having a Bank of America checking account is one requirement for the Preferred Rewards auto loan rate discount. Customers with a Bank of America checking account and auto loan can easily make loan payments and manage their loan through online banking and a mobile app.
Bank of America at a Glance
How does this loan compare?
 |  |  |
|---|---|---|
Est. APR5.49-17.54% | Est. APR6.19-29.99% | Est. APR6.99-14.74% |
Loan amount$7,500-No max. | Loan amount$5,000-$60,000 | Loan amount$5,000-$100,000 |
Min. credit score620 | Min. credit score510 | Min. credit score660 |
Used auto purchase loan review
Not yet rated
Pros
Apply online, by phone, in a financial center or at an authorized dealership.
Offers rate discount for customers with qualifying account relationship.
Usually provides loan decision within 60 seconds of application submission.
Finances vehicles purchased from private parties.
Provides Spanish version of website.
Cons
Minimum loan amount is higher than other lenders.
Social Security number is required to submit initial application.
Rate discount available only with deposit balances of $20,000-plus.
Won't finance vehicles purchased at independent dealers not affiliated with auto manufacturers.
Best for applicants who qualify for a Bank of America Preferred Rewards rate discount or want the convenience of purchasing and financing a used car at a Bank of America-authorized dealer.
Auto loan refinancing review
Not yet rated
Pros
Apply online, by phone or in a financial center.
Offers rate discount for customers with qualifying account relationship.
Usually provides loan decision within 60 seconds of application submission.
Will refinance existing Bank of America auto loans.
Provides Spanish version of website.
Cons
Social Security number required to submit initial application.
Rate discount available only with deposit balances of $20,000-plus.
Minimum loan amount is higher than other lenders.
Best for applicants wanting to refinance their auto loan and who qualify for a Bank of America Preferred Rewards rate discount.
Auto lease buyout loan review
Not yet rated
Pros
Apply online, by phone or in a financial center.
Usually provides loan decision within 60 seconds of application submission.
Provides Spanish version of website.
Cons
Social Security number required to submit initial application.
Minimum loan amount is higher than other lenders.
Best for applicants wanting to quickly determine if they qualify for a lease buyout loan and at what rate.
More from Bank of America
Bank of America offers an online car buying service through their network of participating dealers. Car buyers can choose their car and financing online, and then visit the dealership to finalize their loan paperwork. This service is not available in all states.
Bank of America also offers accessible vehicle loans and small business vehicle loans.
Bank of America auto loan rates
Credit requirements vary by auto lender, but Bank of America’s lowest rates are typically available only to borrowers with good or excellent credit (a FICO score of 690 and above). Borrowers with bad or fair credit won’t qualify for the lowest interest rates.
You can check your credit score before applying for a car loan.
Loan example: According to NerdWallet's auto loan calculator that uses the VantageScore credit model, a borrower with a credit score of 300-499 (considered deep subprime), a $20,000 used car loan, repayment term of 72 months, interest rate of 18% APR and $0 down payment would have monthly payments of $456. One year later, if all payments were made on time, the borrower will have paid the loan down to a balance of $17,963. If the borrower is able to then refinance at 12% APR for the remaining 60 months, the payment would drop to $399 and result in interest savings of $3,394 over the life of the loan.
To review Bank of America, NerdWallet contacted Bank of America representatives and requested that the company complete our standard auto lender survey. Bank of America declined, so this review is based on public information and the company’s website. The information gathered was compared with other lenders that seek the same customer or offer a similar product.
Frequently asked questions
Bank of America does offer auto loan refinancing and lease buyout loans. It is also one of the few lenders that allows current customers to refinance an auto loan already through Bank of America.
Bank of America does provide some current auto loan rates on its website for new and used cars purchased at a dealership, private party auto loans, auto refinancing loans and lease buyout loans. The rates displayed are “as low as” rates available only for applicants with excellent credit. Borrowers with fair or bad credit will not qualify for the lowest rates shown. Also, Bank of America auto loan rates can vary by state, so the bank's website will prompt you to input your state.
Applicants will see their actual rate quote upon loan approval, and this requires a hard credit inquiry which can slightly and temporarily lower your credit score.
