Clearlane by Ally Auto Loans Review 2022

Clearlane by Ally Auto Loans Review 2022
Written by Publishing Team

Pros and Cons

Clearlane Auto Loans

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Refinance/lease purchase: 3.74% to 7.49%

  • Pros and Cons

  • details

  • Positives
    • Flexible credit check for pre-qualification
    • Participating borrowers are allowed
    • Guaranteed Asset Protection (GAP)
    • Restricted loan amount range
    • Annual percentage rate is higher than competitors
    • Only refinance the loan and buy available rents
    • Available in 48 states
    • slow financing process
    • The loan amount ranges from $10,000 to $80,000
    • Repayment periods between 36 to 72 months
    • GAP coverage is available, reducing the gap between the value of the vehicle and the amount you owe the vehicle if your vehicle is collected or stolen
    • I can’t get a loan in Nevada, Vermont, or Washington DC
    • Funding may take up to a few weeks
    • Customer service is available by phone and email
    • The loans are provided by Ally Bank, a member of the FDIC

    In most states, Clearlane offers guaranteed asset protection, which can help reduce the gap between a vehicle’s value and the amount you owe the vehicle if your vehicle is assembled or stolen. This is a unique feature that not all lenders offer.

    In addition, Clearlane allows participants to sign for its loans. Co-signers can help borrowers with low credit scores qualify for a loan.

    How Clearlane Auto Loans Work

    Clearlane offers only two types of car loans, loan refinancing and rental purchase – you won’t be able to buy a new or used car with the lender. Loan terms range from 36 to 72 months, and loans are available in every state except Nevada and Vermont. You can’t get a car loan in Washington DC either. Loan amounts range from $10,000 to $80,000.

    The financing process can take anywhere from several days to a few weeks, depending on how quickly Clearlane gets you the documents they need to approve your loan. These documents include your Social Security number, job details, and contact information.

    You must have a monthly income of at least $2,000 to qualify for a Clearlane loan. In order for your vehicle to qualify for a Clearlane loan, it must be less than 10 years old and have never been used as a police car or taxi.

    Clearlane’s interest rates are fixed, which means they will not change over the life of the loan. The lender does not charge application or documentation fees. You are allowed to add a co-borrower to your loan, although this is not required.

    Before settling a car loan, shop and compare all your offers. Look beyond the monthly payment and think about the interest rate and term of the loan.

    Is Clearlane trustworthy?

    Ally, Clearlane by parent company Ally, is rated D- by the Better Business Bureau, a nonprofit organization focused on consumer protection and trust. The BBB cited 73 unresolved complaints against the company as reason for its classification. The BBB evaluates companies by considering responses to consumer complaints, honesty in advertising, and clarity surrounding business practices.

    Keep in mind that BBB scores may not be representative of the relationship you will have with the company and are just starting points in your search to find a car loan lender.

    On the positive side, Clearlane has not been involved in any recent scandals.

    How Clearlane Auto Loans Compare

    Compared to other lenders, Clearlane has lower competitive rates on its auto financing products. Here’s how the online lender stacks up against Bank of America and Lightstream.

    Clearlane’s lowest APR on lease purchases and loan refinancing is approximately 0.3% to 0.7% higher than APRs from Bank of America and Lightstream. Its loan range has higher minimums and lower maximums than Lightstream or Bank of America, which makes it more restricted depending on how much money you need to fund.

    Both Lightstream and Bank of America offer loans for the purchase of new and used cars, while Clearlane does not have this option. Clearlane doesn’t offer any price discounts for automatic payments, while Lightstream does. Clearlane also does not have a discount or for being a member of Ally’s parent bank, which Bank of America offers.

    Lightstream offers same-day financing in some cases, while it may take a few weeks to get your money back through Clearlane.

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