What a Wells Fargo Auto Loan Covers
Wells Fargo offers auto loans to purchase new or used vehicles, and also refinance existing loans from other lenders. The bank funds the purchase directly and holds a lien on the vehicle until you pay off the loan. You make monthly payments to Wells Fargo, and once the loan is paid in full, the lien is released and you own the car outright.
Wells Fargo auto loans are available to customers who meet their credit and income requirements. The interest rate you receive depends on your credit score, the age and mileage of the vehicle, the loan term you choose, and current market rates. Rates vary by individual and change daily, so the rate you see advertised is not necessarily the rate you will receive.
The bank offers loan terms ranging from 24 to 84 months, though the exact terms available depend on the vehicle's age and your creditworthiness. Shorter terms mean higher monthly payments but less interest paid overall. Longer terms lower your monthly payment but increase the total interest you pay over the life of the loan.
Key Takeaways
- Wells Fargo auto loans fund the purchase of new or used vehicles and allow you to refinance loans from other lenders.
- Your interest rate depends on your credit score, the vehicle's age and mileage, your loan term, and current market conditions.
- Loan terms range from 24 to 84 months, with shorter terms costing more per month but less in total interest.
- You can manage your loan online through Wells Fargo's website or mobile app, and make extra payments without penalty.
How to Get a Wells Fargo Auto Loan
You can start the process online at wellsfargo.com, by phone at 1-800-869-3557, or in person at a Wells Fargo branch. Online is usually fastest—you can get a rate estimate without a hard credit pull, which means your credit score is not affected. The estimate takes a few minutes and shows you what rate range you might receive based on the information you provide.
If you decide to move forward, Wells Fargo will conduct a full credit check and verify your income and employment. You will need to provide your Social Security number, driver's license, proof of income (usually a recent pay stub or tax return), and proof of residence (a utility bill or lease agreement). Have these documents ready before you start the process to speed up the process.
Once approved, you work with Wells Fargo to finalize the loan terms and schedule closing. If you are purchasing a vehicle from a dealer, the dealer often handles the paperwork on your behalf. If you are buying from a private seller or refinancing an existing loan, you will coordinate directly with Wells Fargo to complete the transaction.
Interest Rates and Fees
Wells Fargo's auto loan rates vary based on credit score, vehicle type, loan term, and current market conditions. Customers with excellent credit (typically 740 and above) generally receive the lowest rates, while those with fair or poor credit pay higher rates. The bank does not publish a single rate; instead, you receive a personalized rate based on your financial profile.
Wells Fargo charges an origination fee on some auto loans, though this varies by loan type and your creditworthiness. The origination fee is typically deducted from your loan proceeds or added to your loan balance. Ask about the specific fees on your loan before you sign the paperwork, as fees are not always disclosed upfront in rate estimates.
The bank does not charge prepayment penalties, meaning you can pay off your loan early or make extra payments without additional cost. This can save you money on interest if you have the ability to pay faster than your scheduled term.
Managing Your Wells Fargo Auto Loan
Once your loan is funded, you can manage it through Wells Fargo's online banking portal or mobile app. You can view your loan balance, payment history, and due date. You can also set up automatic payments so your monthly payment is deducted from your checking or savings account on the same day each month.
If you miss a payment, Wells Fargo typically allows a grace period of 10 to 15 days before reporting the late payment to credit bureaus. However, late fees may explore depending on your loan agreement. If you are struggling to make a payment, contact Wells Fargo as soon as possible to discuss options like deferment or loan modification.
You can make extra payments or pay off the loan in full at any time without penalty. Extra payments go directly toward your principal balance, reducing the amount of interest you pay and shortening your loan term. Some borrowers make biweekly payments instead of monthly payments to pay off the loan faster.
Refinancing an Existing Auto Loan with Wells Fargo
If you have an auto loan with another lender, you can refinance it with Wells Fargo. Refinancing means Wells Fargo pays off your existing loan and issues you a new loan with Wells Fargo instead. This can lower your interest rate if your credit score has improved since you took out the original loan, or if market rates have dropped.
To refinance, you need the same documentation as a new auto loan: proof of income, employment verification, and proof of residence. You also need information about your current loan, including the lender's name, your current balance, and your monthly payment. Wells Fargo will order a vehicle inspection and appraisal to confirm the car's condition and value.
Refinancing typically takes 7 to 10 business days from approval to funding. During that time, you continue making payments to your current lender. Once Wells Fargo's loan funds, your old loan is paid off and you begin making payments to Wells Fargo instead.
What Happens If You Default on Your Loan
If you miss multiple payments, Wells Fargo may repossess your vehicle. Repossession typically occurs after 120 days (about four months) of missed payments, though the exact timeline depends on your loan agreement and state law. Once the vehicle is repossessed, it is sold at auction, and you are responsible for any difference between the sale price and what you still owe on the loan.
Defaulting on an auto loan also damages your credit score significantly. Late payments remain on your credit report for seven years and make it harder to borrow money in the future. If you are having trouble making payments, contact Wells Fargo before you fall behind to discuss options like loan modification, deferment, or forbearance.
Frequently Asked Questions
What credit score do I need for a Wells Fargo auto loan?
Wells Fargo works with borrowers across a range of credit scores, but the exact minimum score is not publicly stated. Generally, borrowers with a score of 600 or higher have better chances of approval, though rates are significantly higher for lower scores. The best way to learn about you may have access to is to request a rate estimate online, which does not affect your credit score.
Can I get a Wells Fargo auto loan if I'm buying from a private seller?
Yes. Wells Fargo funds loans for private-party vehicle purchases, though the process is slightly different than buying from a dealer. You will need a bill of sale, proof of insurance, and a vehicle inspection. Wells Fargo will issue a check made out to both you and the seller, which you present at closing.
How long does it take to get approved for a Wells Fargo auto loan?
A rate estimate takes a few minutes online. Full approval typically takes 24 to 48 hours after you submit your complete process and documentation. Funding can occur within 7 to 10 business days once everything is finalized, though this varies depending on whether you are buying from a dealer or private seller.
Can I pay off my Wells Fargo auto loan early?
Yes, and there are no prepayment penalties. You can pay off the loan in full at any time, or make extra payments toward your principal. Extra payments reduce the total interest you pay and shorten your loan term. Contact Wells Fargo to confirm the payoff amount before sending a final payment.
What if I want to sell my car before the loan is paid off?
You can sell the vehicle, but the buyer must pay off the loan balance in full at closing. Wells Fargo will provide a payoff quote that is good for a specific number of days (usually 10 days). The sale proceeds go to Wells Fargo first to satisfy the lien, and any remaining money goes to you.