How much of a factor is loan amount?

[Anonymous]

With all things equal, would I get better terms with a $15 loan when compared to something like a $30 loan? 

I'm guessing the lower the loan amount the better odds for approval? 

[Anonymous]

---

@Anonymous wrote:

With all things equal, would I get better terms with a $15 loan when compared to something like a $30 loan? 

I'm guessing the lower the loan amount the better odds for approval? 

---

I would guess YES to "better odds for approval."

But I would guess NO to "better terms." 

[sccredit]

There is no simple answer.  LTV will play a big part.  If income supports a $30k loan I don't see that the terms on $15k would be any better than $30k.  

[Anonymous]

Rates and terms are all about risk to the lender. Look at these examples:

Loan 1, $50k vehicle, you put $40k down, borrow $10k

Loan 2, $12k vehicle, you put $2k down, borrow $10k

Loan-to-value like sccredit said. Both loans are for $10k, but the lender has a lot less risk on Loan 1. They already have $40k in their pocket, if you default and they repo/auction they are certain they can get the $10k back and then some. On Loan 2 if you default they're probably winding up in the negative. This is why having more money to put down can help when you have lower credit. They may still be willing to give you Loan 2, but they'll charge a higher interest rate as a way to mitigate their risk I.E. if you default after 2yrs they'll have made $2k off interest instead of $1k.