Founded in 1902, Santander Bank, N.A., was originally known as Sovereign Bank. Their parent company, Santander Group, serves over 100 million customers in the United Kingdom, Latin America, and Europe. Sovereign’s first customers were primarily textile workers. During the 1980s and 1990s savings and loan crisis, Sovereign increased rapidly. Headquartered in Massachusetts, Sovereign became the third largest bank in Boston by obtaining other banking institutions. In September 2011, Sovereign changed its name to Santander. The goal was to develop an international brand, offering various financial products including auto loans.
Santander Bank offers comparable auto loans with various types of payment terms. There is financing available at 100%. If borrowers set up an automatic payment from any of Santander checking accounts, they can receive a 0.25% discount. As with other banks with a large customer base, there is a greater risk of receiving complaints. Although Santander Bank complaint percentages may seem high, it continues to rank below average in complaints received, in spite of its size.
Auto Loan Details
There are three categories of auto loans offered by Santander Bank: new car loans, used car loans, and refinance loans. Customers can apply for auto loans by either calling a bank representative or applying online. Santander also offers customers a pre-qualification process before beginning their car search. This gives customers the exact amount they can spend without the worry. Auto loan calculators are provided for those curious about how much they may pay monthly or whether to buy or lease a vehicle. Lower rates are offered on new car purchases when borrowers set up the automatic payment option with a Santander Bank checking account. Auto loans generally range from 24 to 60 months.
Interest Rates and Terms
To qualify for the listed annual percentage rates (APRs), borrowers must live in the following states: Connecticut, Washington DC, Delaware, Maryland, Maine, New Hampshire, New Jersey, New York, Pennsylvania, Rhode Island or Vermont. Borrowers must also have or open a Santander Bank checking account with automatic payment set up. Santander’s advertised rates are among the best rates out there.
Interest rates take into account the borrower’s credit history, down payment amount, the age of the vehicle, loan amount (vehicle value percentage), and selected payment option. As of March 2016, Santander rates are as follows:
– New car loans have rates as low as 2.54% APR
– Used car loans have rates as low as 2.99% APR
– Both require borrowers to set up automatic payments from a Santander checking account.
The minimum loan amount is $5,000, while the maximum loan amount is $75,000. Available loans are financed up to 100% of the total value of the automobile used as collateral.
Seventy-two (72) month terms are only applicable on secured loans by new vehicles (model years 2015 and 2016 with 5,000 miles or less) and do not qualify for the lowest standard rates. Loans secured on used vehicles (model years 2010 to 2016) qualify for sixty-month (60) terms. Shorter loan terms are available for older vehicles.
Why Santander Bank?
Although Santander Bank has been in business for quite some time, it is somewhat new to the Northeastern United States and not well known. However, its auto loan interest rates are comparable to the competition. The application process is easy and convenient to use. Santander Bank prides itself on quality customer service; focusing on a streamlined and individual approach to banking.