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Innovative Funding Services (IFS) Auto Loans: 2019 Review

March 1, 2019
Auto Loans, Loans
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4.0 NerdWallet rating

Good for: average credit applicants looking for hands-on help with vehicle transfer paperwork

Innovative Funding Services works with a network of lender partners to provide auto loans for refinancing, lease buyouts and company vehicle purchases. It even refinances higher-end brands of motorcycles. However, the company does not offer dealer purchase loans.

IFS is a good fit for those who:

  • Have credit scores of at least 500 and make at least $1,500 a month.
  • Want to see an interest rate quote without a hard credit pull.
  • Want help handling the paperwork for loan approval and vehicle ownership transfers.

IFS auto loans at a glance

APR*2.49% - 23.99%
Loan amounts$5,000 - $100,000
Minimum requirementsCredit score: 500
Income: $1,500/month
Hard credit check with application?No
AvailabilityAll 50 states
*APR is used to evaluate the true cost of borrowing money and includes the interest rate.

IFS review details

IFS specializes in helping people secure loans for car refinancing, lease buyouts or purchasing a company vehicle. The company also provides expert vehicle registry services and help completing the necessary paperwork for transferring ownership, often saving borrowers a trip to the department of motor vehicles.

The lender recently changed its policy and no longer requires a hard credit inquiry. This means you can see an interest rate quote without an impact to your credit score.

Car loan rates

The lowest rate on auto loans from IFS is 2.49% and the maximum rate is 23.99%. Customers get an average rate of 4.5% and have an average credit score of 640, according to the company. This is lower than the average rates for borrowers with credit scores between 601 and 660. In the third quarter of 2018, these “nonprime” borrowers saw average rates of 7.52% for new car loans and 10.34% for used car loans, according to Experian’s State of the Automotive Finance Market report.

However, as with all advertised rates, the lowest ones are only available to borrowers with very strong credit. Lenders set their own requirements, but excellent credit is generally considered 720 or better, while 690 to 719 is good.

Keep in mind that with average or below-average credit you won’t get the lowest interest rates, which means your monthly payment and total interest paid will be more. If you know your credit score, you can get an idea of the rate you might qualify for.

Applying to IFS

  • A Social Security number is not needed to see prequalified offers. 
  • No application fee; late payment fees vary by lender.
  • Borrowers are not obligated to select an offer.
  • Funding methods vary by lender; loan documents are signed electronically or shipped overnight for your signature.
  • Co-signers allowed.
  • Available in all 50 states.

Restrictions

  • Maximum vehicle age: 10 years.
  • Maximum vehicle mileage: 150,000 miles.
  • Loan terms: 36 to 84 months. (NerdWallet doesn’t recommend loans over 60 months.)
  • Vehicle restrictions and requirements vary by lender.
  • Must have owned the car for at least 6 months.

How IFS compares

IFS’ specialty in offering loans to buy company cars is unlike other lenders we reviewed. Additionally, the company spokesman emphasized the hands-on help IFS finance advisors provide in the complicated process of transferring vehicle ownership. IFS has low credit score requirements and midrange minimum income requirements compared to other lenders we reviewed, such as Lending Club on the low end of the spectrum, and Autopay on the high end.

The table below shows how IFS compares to other auto refinance lenders. Some companies provide loans directly, while others shop for loans for you from a network of lender partners.


CompanyMinimum credit scoreMinimum monthly incomeMaximum vehicle age/mileageHard pull?Get started
MyAutoloan
3.5 NerdWallet rating
500$1,10010 yrs / 125,000 miYes
OpenRoad Lending
3.0 NerdWallet rating
500$1,50010 yrs / 100,000 miYes
IFS
4.0 NerdWallet rating
500$1,50010 yrs / 150,000 miNo
LendingClub
4.0 NerdWallet rating
510None10 yrs / 120,000 miNo
CarFinance.com
3.5 NerdWallet rating
525None8 yrs / 100,000 miYes
Capital One
4.0 NerdWallet rating
540$1,500 - $1,8007 yrs / No restrictionNo
RateGenius
3.0 NerdWallet rating
550$2,0007 yrs / 100,000 miYes
RefiJet
4.0 NerdWallet rating
580$2,00010 yrs / 200,000 miNo
Autopay
3.0 NerdWallet rating
600$2,00011 yrs / 125,000 miNo
Clearlane
3.0 NerdWallet rating
600$1,80010 yrs / 100,000 miNo
Consumers Credit Union
3.0 NerdWallet rating
640$500; $2,000 preferredNo restrictionYes
LightStream
5.0 NerdWallet rating
660NoneNo restrictionYes


CompanyMin credit score, monthly incomeGet started
MyAutoloan
3.5 NerdWallet rating
500

$1,100
OpenRoad Lending
3.0 NerdWallet rating
500

$1,500
IFS
4.0 NerdWallet rating
500

$1,500
LendingClub
4.0 NerdWallet rating
510

None
CarFinance.com
3.5 NerdWallet rating
525

None
Capital One
4.0 NerdWallet rating
540

$1,500 - $1,800
RateGenius
3.5 NerdWallet rating
550

$2,000
RefiJet
4.0 NerdWallet rating
580

$2,000
Autopay
3.0 NerdWallet rating
600

$2,000
Clearlane
3.0 NerdWallet rating
620

$1,800
Consumers Credit Union
3.0 NerdWallet rating
640

$500; $2,000 preferred
LightStream
5.0 NerdWallet rating
660

None

More from IFS

IFS offers additional products that can be rolled into its loans, such as gap insurance, tire and wheel protection, and service protection plans. The company will also refinance higher-end bikes such as Harley-Davidsons and Honda Cruisers.

The IFS website has numerous educational resources, including a blog, a car loan calculator and answers to frequently asked questions. It also has articles on refinancing, leasing and purchasing company cars, for prospective borrowers wanting to better understand these transactions.

Shopping for an auto loan

 

More from NerdWallet

See more car loan providers
See more auto loan refinance options
Estimate your payments with a car payment calculator


Auto Loans Ratings Methodology

NerdWallet’s auto loans ratings reward lenders offering the most transparency and consumer-friendly features. Ratings are based on weighted averages of several categories, including flexibility of loan options, clarity of borrower requirements, accessibility, speed of funding and fees. Using our editorial discretion, we also consider consumer reviews and complaints. These ratings are a guide, but we encourage you to shop around to find the lowest interest rate you can qualify for. NerdWallet does not receive compensation for any reviews. Read our editorial guidelines.

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