Behind the Scenes: Subaru’s Credit Check Process for Car Loans

When it comes to buying a car, having a good credit score is crucial, especially if you’re interested in financing options. Subaru, like many other car manufacturers, requires potential buyers to undergo a credit check before they can secure the loan needed to purchase a car. In this article, we’ll explore what credit bureaus Subaru uses, why they use these bureaus, and how the credit check process works. We’ll also provide some tips for improving your credit score and increasing your chances of getting approved for a Subaru car loan.

What Credit Bureaus Does Subaru Use?

Subaru, like most other car manufacturers, uses at least one of the three major credit bureaus: Equifax, Experian, and TransUnion. These bureaus collect and maintain information about consumers’ credit reports, such as their payment history, outstanding debt, and credit limits. Subaru and other lenders use this information to determine the creditworthiness of potential borrowers and their ability to repay the loan.

Subaru may also use a specialized credit reporting agency that focuses specifically on car financing. These bureaus not only collect the same information that the major credit bureaus do, but they also track automotive-specific information such as vehicle registrations, loan default histories, and insurance claims. By using these reports, car dealerships can determine the most appropriate interest rates, down payments, and payment terms.

See also  Subaru’s Lifetime Powertrain Warranty: A Comprehensive Guide

Why Does Subaru Use These Credit Bureaus?

Subaru and other car manufacturers use these credit bureaus because they provide up-to-date and accurate information about a buyer’s creditworthiness. By using multiple bureaus, Subaru can gather a more complete picture of the buyer’s financial history. As a result, this helps them make better decisions about financing options, such as interest rates or down payments.

Furthermore, Subaru may use specialized credit reporting agencies to determine what types of cars a buyer has financed before and whether they have a history of defaulting on car loans, which can affect their chances of getting approved for a loan. All of this information allows Subaru to make better-informed decisions about whether or not to approve an application for car financing.

How Does the Credit Check Process Work?

When you apply for a car loan through Subaru, the dealership will run a credit check to see your credit score. The higher your score, the better your chances of getting approved for a loan. As mentioned earlier, the dealership will most likely use one of the three major credit bureaus, Equifax, Experian, or TransUnion, to obtain your credit report.

Once the dealership has your credit score, they consider a few factors before approving your loan request. They’ll consider your income, existing debts, credit history – these are all factors that will determine the terms of the loan, including the interest rate they’ll offer you.

How Does the Credit Report Affect the Car Buying Process?

Your credit report is a crucial component of the car buying process. A poor credit score could mean a higher interest rate, a larger down payment, or even a denied loan request. Suppose you have a good score, a stable source of income, and limited other debts. In that case, you’re more likely to be approved for a loan with a low-interest rate, which can save you thousands of dollars over the life of the loan.

See also  Why Subaru Uses a Fuel Temperature Sensor: Improving Engine Performance and Maintaining Vehicle Health

If your credit score is lower than you’d like, there are a few steps you can take to boost it before applying for a Subaru car loan:

  • Check your credit report for errors and dispute any inaccuracies.
  • Pay down any outstanding debts or high credit card balances.
  • Make all your payments on time and keep your credit utilization low.
  • Avoid opening any new lines of credit before applying for a car loan.
  • Consider working with a credit counseling agency to get your finances on track.

By following these tips, you can increase your chances of getting approved for a car loan and improve your overall credit score.


Q: Does Subaru only use one credit bureau for their financing?
A: No, Subaru and other car manufacturers typically use several credit bureaus to obtain a complete picture of a buyer’s creditworthiness.

Q: Will the credit check impact my credit score?
A: Yes, a credit check can lower your credit score slightly, so don’t apply for too many car loans or credit in a short period. However, when a dealership requests your credit report, they typically perform a soft inquiry that does not impact your credit score.

Q: Can I negotiate the terms of my car loan?
A: Yes, always negotiate the terms of your car loan. If you have good credit and are an attractive borrower, you have leverage to negotiate a lower interest rate, lower down payment, or better loan terms.


Subaru, like all other car manufacturers, uses credit bureaus to determine the creditworthiness of its car loan applicants. By using one or more major credit bureaus or specialized reporting agencies, they can obtain a complete picture of a buyer’s finances, allowing them to make better-informed decisions about interest rates, down payments, and payment terms. By keeping your credit score in good standing and regularly checking your credit report, you can increase your chances of being approved for a Subaru car loan and negotiating the best possible terms.

See also  Unlocking Subaru's Timing Secrets: Unveiling the Truth about Timing Chains and Belts for Optimal Performance and Reliability
Avatar photo

Billy Covington

With a passion for all things automotive, Billy is our go-to expert on Subaru performance upgrades and modifications. He's been featured in several car magazines and blogs, and his extensive knowledge and expertise make him a valuable member of our team. When he's not working on cars, he enjoys playing guitar and writing music.

Recommended Articles