BBVA Compass is a subsidiary of BBVA Compass Bancshares Inc., which was founded in 1857. It is a leading U.S. banking franchise and is among the top 25 largest commercial banks in the country. The company operates 668 branches in Alabama, Arizona, California, Colorado, Florida, New Mexico and Texas. In addition, it has been recognized as one of the nation's leading Small Business Administration lenders.
- Same-day decisions on most applications
- No documentation fees
- Reasonable interest rates and flexible loan terms
- No prepayment penalties
- Low minimum loan amount
- Rate discount with auto-debit loan payments
Same-Day Decisions on Most Applications
When applying for an auto loan with BBVA Compass, you won't have to wait long for a decision on your application. The company website states that most applications receive a decision on the same day.
No Documentation Fees
BBVA Compass does not charge any documentation fees. This could help save you money versus having your financing done through a dealership because most dealerships do charge a documentation fee and might not be willing to negotiate.
Reasonable Interest Rates and Flexible Loan Terms
The interest rates at BBVA Compass are quite reasonable. The company's website states that its rates start at 3.39 percent and go up to 12.59 percent. The company also offers flexible loan terms that range from 12 to 72 months.
No Prepayment Penalties
Fortunately, BBVA Compass doesn't charge any type of prepayment penalty if you choose to pay off your loan early. This is good news if you plan on making extra payments to shorten the term of your loan or if you will be paying off your loan early.
Low Minimum Loan Amount
It's common for an auto loan company to have a minimum loan requirement; however, sometimes the minimums are quite high and prevent people who want to finance a less expensive vehicle from being approved. Fortunately, BBVA Compass has a reasonably low minimum loan requirement of $5,000.
Rate Discount With Auto-Debit Loan Payments
BBVA Compass offers an extra 1 percent rate discount for consumers who sign up to have their monthly payments automatically debited from their BBVA checking account. This could help you save a bit money over the life of your loan.
- Bad credit application information not disclosed
- Mileage limit restrictions not transparent
- Refinancing option not clear
Bad Credit Application Information Not Disclosed
BBVA Compass has not disclosed whether or not it will accept people with marginal or bad credit. Its website lists APRs that range from 3.39 to 12.59 percent, which would typically be considered "good credit" rates. Therefore, it's unclear as to whether the company will or will not accept people with bad credit, and if so, if the company has a minimum credit score it uses to determine creditworthiness.
Mileage Limit Restrictions Not Transparent
Many auto loan companies have mileage limits for the vehicles they choose to finance and BBVA Compass might as well. However, the company website doesn't mention whether or not it has such a restriction. Potential customers will need to contact the company for more information before shopping for a new vehicle.
Refinancing Option Not Clear
BBVA Compass offers auto loans for new and used vehicles. However, the company doesn't advertise whether or not it offers any type of refinancing option.
The Bottom Line
BBVA Compass has a lot to offer. The company provides same-day decisions on its loan applications in most cases and doesn't charge any documentation fees. In addition, it has reasonable interest rates, flexible loan terms, and doesn't charge any type of prepayment penalty. BBVA Compass' minimum loan amount is $5,000 and the company gives a 1 percent rate discount when you sign up for its automatic payment program.
However, the company has not disclosed on its website whether or not it offers auto loans to those who have marginal or bad credit. Further, BBVA Compass doesn't specify whether it has any mileage limit restrictions or refinancing options.
BBVA Compass appears to be a reputable auto loan company and it has a very longstanding history of doing business. However, we do recommend performing your own due diligence before making any final decisions about which auto finance company is right for you and your particular situation.