2024 LightStream Auto Loan Review
LightStream auto loans at a glance
 | New auto loans | Used auto loans | Refinance auto loans |
| Starting APR | 7.24% (with autopay) | 7.24% (with autopay) | 7.49% (with autopay) |
| Loan terms | 24-84 months | 24-84 months | 24 - 84 months |
| Loan amounts | $5,000 to $100,000 | $5,000 to $100,000 | $5,000 to $100,000 |
| See Auto Loan Rates | See Auto Loan Rates | See Refinance Rates |
LightStream is a well-known, well-marketed, popular auto loan option that operates completely online. Terms varies, with loan amounts between $5,000 and $100,000. Rates on LightStream auto loans are competitive, but only for well-qualified buyers who also choose the autopay feature, which grants an automatic rate discount of 0.50%.
- Rapid funding: LightStream may be able to fund your loan as soon as the same day you apply.
- Easy online interface: The LightStream website is intuitive and easy to use. Information is readily available and an obvious “apply now” button takes you right to the application process.
- Broad range of loan terms: You can apply for 84-month auto loans. Those looking to save on interest and get out of their loan as soon as possible can choose a term as short as two years, or 24 months.
- Best for borrowers with good credit: LightStream’s headline rates are only available subject to credit approval. If you apply with average or lower credit, you’ll likely face a high double-digit rate, if you get approved at all.
LightStream auto loan requirements
LightStream only offers loans to applicants with good or excellent credit. Consumers must have several years of credit experience, assets, a healthy debt-to-income ratio and a good payment history.
When it comes to vehicle requirements, however, LightStream has few restrictions. You can buy any new or used vehicle from any dealer and even borrow a private party auto loan. There are no restrictions in terms of the car’s year, make, model or mileage. This is true whether you are purchasing or refinancing.
LightStream doesn’t even require any down payment for your vehicle purchase, meaning you can borrow 100% of the value of the car.
LightStream pros and cons
LightStream has lots to offer, but it’s important to understand the drawbacks, as well.
| Pros | Cons |
|---|---|
Same-day funding may be available High loan amounts of up to $100,000 Flexible terms from 24 to 84 months 0.50% discount for autopay | Good credit required to apply, excellent credit required to score good rates Lower-credit borrowers likely won’t qualify No opportunity to get preapproval with soft credit pull |
For top-tier borrowers, LightStream offers all that you could want in a lender: low rates, fast funding, flexible terms and an autopay discount. For everyone else, LightStream may not be the best fit.
The majority of auto loan borrowers don’t typically have excellent credit. In addition to having to endure a hard credit pull just to see if you’re approved, if you have bad credit, LightStream will likely turn down your auto loan application.
LightStream also doesn’t specifically say what the minimum credit score for approval is, with its website merely stating that you’ll need “good credit.” That typically amounts to a score of about 660 or more, but LightStream specifies that no particular credit score guarantees approval.
LightStream company overview
The main difference between LightStream and more traditional auto lenders — beyond the all-online processing — is the fact that the company doesn’t require collateral to issue an auto loan. LightStream offers unsecured loans, which no doubt helps the company process loans more rapidly and efficiently. It also means your car won’t be repossessed if you happen to default on your loan.
However, as LightStream’s loans are not secured by the vehicle you’re buying, as is the case with a traditional car loan, the company tends to charge slightly higher rates than you might get from other sources.
However, as with any lender, the best rates are available to those with the highest credit. You can also keep your rate as low as possible by availing LightStream’s autopay option, which knocks 0.5% off your loan rate.
LightStream auto loan types offered
LightStream offers loans in the following categories:
- New auto purchase
- Used auto purchase from dealer
- Used auto purchase from individual
- Auto lease buyout
- Auto loan refinance
- Motorcycle purchase or refinance
- Boat loans
How to get an auto loan with LightStream
LightStream does make the auto loan application process fairly quick and painless, requiring just four simple steps. Here’s what you’ll need to get your application started:
- Loan information, including your application type and your loan amount, term and purpose. Remember to check the autopay box so you can qualify for the automatic 0.50% rate discount.
- Personal information, including name, address, phone number, date of birth, Social Security number, proof of citizenship, financial information, employment records and the last four digits of your driver’s license number.
- Security information, such as your user ID and password, along with your chosen security questions and answers.
- Confirmation and submission, where you’ll verify the information you submitted.
Once you complete these steps, your application will be immediately submitted for review.
To gain approval, you’ll need to have the following:
- A credit score of “good” or better
- Enough income and assets to cover all of your loan obligations, including your new auto loan from LightStream
- Your consent to receive electronic records and use electronic signatures
- A valid Visa or MasterCard number for verification purposes
Once approved, sign your loan agreement and you’ll be good to go.
Is a LightStream auto loan right for you?
No one lender is the absolute right choice for every single borrower. Even if you’ve used LightStream in the past or you favor them for some reason, it’s important to always shop around to get the best loan rates and terms you can. That being said, LightStream can be a very good option for those who are comfortable using a completely online lender and who have top-tier credit that qualifies for LightStream’s best rates.
How LightStream auto loans compare
LightStream has its strengths and weaknesses when compared with other online auto lenders. Shopping around is always the best option, as even if the headline statistics for a particular seem favorable, they may not apply to you personally.
Here’s a look at how LightStream compares in terms of rates, terms, amounts and required credit score to two competitors. Information in the table refers to new car loans only.
| LightStream | myAutoLoan | Autopay | |
|---|---|---|---|
| Starting APR | 7.24% (with autopay) | 7.24% | 5.69% |
| Loan terms | 24-84 months | 24 to 72 months | 24 to 96 months |
| Loan amounts | $5,000 to $100,000 | $8,000 and up | $2,500 to $100,000 |
| Minimum credit score | Not disclosed | 600 | All credit levels |
If you want additional information, check out LendingTree’s reviews of myAutoLoan and Autopay directly.
Frequently asked questions
LightStream doesn’t specify the exact credit score required for auto loans, only referencing that it requires good credit to qualify.
LightStream does not approve loans instantly, but you may receive a decision — and even funding — the same day you apply.
No, LightStream auto loans are not secured and do not require collateral.