Before you pay: four steps that lower the bill
- Get the diagnosis in writing. Ask for an itemized estimate showing parts and labor separately.
- Get a second quote for any repair above a few hundred dollars. Independent shops are often cheaper than dealerships for out-of-warranty work.
- Ask about parts options. Quality aftermarket or remanufactured parts can cost less than original-equipment parts.
- Separate "now" from "soon." Ask which repairs are needed for safety today and which can wait a few months.
Also check your warranty, extended service contract and any open safety recalls at NHTSA.gov. Recall repairs are done free by the dealer.
Ways to pay for a car repair
| Option | Good for | Watch out for |
|---|---|---|
| Emergency savings | Any size repair you can cover | Leaving yourself with no cushion |
| Shop payment plan | Shops that offer in-house plans | Deferred-interest terms |
| Credit card | Small bills you can repay quickly | High APR if carried for months |
| Loanify personal loan | $200–$5,000 repairs with fixed payments | Borrowing more than the estimate |
| Car title loan | Not recommended | Very high APR and risk of losing the car |
What a repair loan costs
A $1,200 repair financed with a Loanify loan at 24.99% APR costs about $114.05 a month over 12 months ($168.57 total interest) or $214.83 a month over 6 months ($88.97 total interest). If you can manage the higher payment, the shorter term saves about $80.
Treat the repair estimate as your loan amount. Once the car is fixed, start a small 'car fund' with even $20 a paycheck. The next repair is always coming, so it's better if you're ready.Lending tip from the Loanify Editorial Team
What to avoid
Avoid car title loans, which use your vehicle as collateral and can lead to repossession, and be cautious of "deferred interest" financing, where all the interest is charged back if you don't pay in full by the promo date. If your credit is fair or rebuilding, a Loanify bad credit loan is a fixed-rate alternative. For fast funding, see Loanify emergency loans.
Frequently asked questions
How fast can I get a Loanify loan for a car repair?
Many borrowers who sign before the daily cut-off receive funds the next business day.
Can the shop be paid directly?
Loanify deposits funds to your bank account, and you pay the shop yourself.
More guides
Loans for medical bills: reduce first, then borrow
Moving expense loans: budgeting for a move
Loans for home repairs: a practical guide
About the Loanify Editorial Team
Our guides are researched, written and fact-checked against federal lending rules, CFPB guidance and current loan terms. Every payment example is calculated with the standard amortization formula. Read our editorial policy.