What is the best auto loan for H1B visa holders and other immigrants?
A car is a must in much of the United States. We’ll explore the best auto loan for H1B Visa holders and other immigrants who need to buy a vehicle.
The United States is a vast country, spread out, and in many places, there isn’t a robust, reliable public transit system. In some places, there is no public transit system. Some areas may not be suitable for walking or cycling either. In some cases, the weather is not appropriate, and in others, there isn’t safe infrastructure like sidewalks or bike lanes.
Car loans for permanent residents are available, and it’s possible to lease a car as a non-citizen too. We’ll discuss buying a car in the USA, getting a car loan on an H1B Visa, and F1 student auto loans.
How to buy a car in the USA
Anyone can buy a car from a dealership or a private person selling their car in the U.S. You don’t have to be a citizen to buy a car. But you may need an auto loan. Reliable vehicles are expensive, and most people, citizens or not, can’t buy one for cash.
Auto loans for non-permanent residents in the U.S. are available, but they require a downpayment. Typically, 20% for a new car and 10% for a used car. Personal loans may be a better option for undocumented immigrants as they don’t require a downpayment, and the money can be used to buy a car. Stilt provides personal loans for undocumented immigrants.
H1B Loans
Banks, credit unions, and online lenders offer auto loans and personal loans. There are no particular H1B loans, but having an H1B Visa may make getting approved for an auto or personal loan easier.
Most likely, the bigger problem for those seeking a loan for a car, a home, or anything else, is their lack of credit history in the U.S. That’s why it’s so essential to start building credit in the U.S. as soon as you can.
If you have a thin credit file, potential lenders may require extra documentation proving you earn enough to make the loan payments, and in the case of an auto loan, you may have to pay a bigger down payment.
Chase auto loans for H1B visa holders and other applicants require borrowers to finance the car from a dealer in the Chase network, which may be limiting.
F1 Student Auto Loan
International college students may need a car too. International students are eligible for most loans in the U.S. apart from federal student loans. But students will face many of the same hurdles as those on H1B visas who are seeking auto loans, an uncertain future as far as how long you’ll remain in the U.S., and a lack of credit history.
Again, the best option may be to obtain a personal loan and use the money to buy a car.
Let Upwardli Help
Upwardli was created to help immigrants new to the country find the information, the financial services, and the financial providers they need to create their new life in America. If you have questions about American personal finance, we have answers!
