Regions Bank: 2023 auto loan review

Regions Bank auto loans are best for large loan limits

Regions Bank lets borrowers get and refinance auto loans for up to $125,000 and gives them the option to borrow as much as 130 percent of their car’s value. That high limit and flexibility with loan-to-value ratio mean that you can work with the bank to finance a very expensive vehicle, closing costs and all.

Pros and cons of Regions Bank auto loans

A high maximum loan amount may not be enough to balance out Regions' lack of prequalification and limited state availability.

Regions Bank is a regional bank based in the Southern and Midwestern United States. A member of the Fortune 500, it offers a variety of financial services including deposit accounts, mortgage, and auto lending services. Regions Bank has average interest rates and a high maximum amount for its auto loans. But the information available is scarce, and you will need to reach out to a Regions representative if you have questions about the process.

Do you qualify?

Regions Bank doesn’t publicly disclose its income or credit requirements, so it can be hard to know if you qualify for a loan without contacting the bank or submitting an application.

It does publish some requirements for used car financing, but these relate to the vehicle rather than your financial profile. To qualify for used car financing or refinancing, the vehicle must:

• Be no more than 7 years old
• Have fewer than 90,000 miles

You must also live in one of the 15 states Regions Bank serves.

Regions Bank versus Fifth Third Bank

Fifth Third Bank is a Cincinnati-based bank that also offers auto loans and refinancing on new and used vehicles. Like Regions, it only offers loans in a small selection of states, mostly in the Southern and Midwestern U.S. However, it partners with dealers to offer indirect loans in other states.

Fifth Third’s maximum interest rate is lower than Regions Bank, which is good news for borrowers that don’t have perfect credit. If you can qualify, you may receive a lower rate with Fifth Third.

Where Regions Bank excels is in loan amounts. You can borrow up to $125,000 from Regions compared to Fifth Third’s $80,000 limit.

Regions Bank versus Bank of America

Bank of America is one of the largest banks in the United States and offers auto loans in all 50 states.

Bank of America has several advantages over Regions Bank, including a lower minimum interest rate and the option to get approved and lock in an interest rate for 30 days. That gives you time to shop around and find the right vehicle for your needs.

However, Regions has a lower minimum loan amount, which may be useful for people who want to buy a cheaper used car. Bank of America’s loans start at $7,500. Check out our full comparison between Regions Bank and Bank of America here.

What we like and what we don’t like

Regions offers large loan amounts but isn’t the cheapest option available.

What we like

• High maximum loan amount: You can borrow up to $125,000 in a single loan, with a maximum LTV of 130%, giving you a lot of flexibility.
• Autopay discount. Setting up automatic payments from a Regions checking account will save you 0.25% off your interest rate.
• Offers EV auto loans with a discounted rate. The lender offers interest rate discounts for auto loans used to purchase electric vehicles.

What we don’t like

• Limited state availability. Auto loans from Regions are only available in 15 states, mostly in the South and Midwest.
• No prequalification. The only way to see if you’re eligible and get a sense for the cost of a loan is to submit a full application.
• Restrictive used car requirements. You can only use a Regions auto loan to finance a used car that is no more than 7 years old and that has fewer than 90,000 miles.

How to contact Regions Bank

Regions Bank offers support through phone and secure online message. You can get assistance by phone six days a week. Hours are Monday through Friday, 6 a.m. to 7 p.m. CT and Saturday from 8 a.m. to 2 p.m.

Auto loan types offered

Regions Bank offers auto loans for drivers looking to finance a new or used vehicle or refinance an existing auto loan. You can borrow anywhere between $5,000 and $125,000.

Financing with Regions includes complimentary guaranteed asset protection (gap) coverage for new or pre-owned vehicles. Gap coverage protects you against vehicle payments if something were to happen to your vehicle. Most lenders charge for this coverage.

New and used auto loans

• Amounts: $5,000-$125,000
• Terms: Not specified
• APR: 6.49%-13.99%

Regions Bank allows for a high loan-to-value ratio — up to 110 percent on private party purchases and 130 percent on those from dealerships. But while borrowing extra can be useful for covering titling, taxes or other expenses, borrowing more than your vehicle is worth can increase the chance of becoming upside-down on your car loan.

Refinance

• Amounts: $5,000-$25,000
• Terms: No longer than the remaining term of the existing loan
• APR: 6.49%-13.99%

Regions does not provide much information about its auto refinance program. However, it does not have a separate refinance application, so you will follow the same process as with its new and used auto loans. If you have questions about if your loan qualifies, email, call or visit Regions.

How to apply for a loan with Regions Bank

You can either apply for an auto loan online or in person at one of Regions Bank branches. 

Regions states a fast credit decision will be available following loan application but shares no specific timeline on funding. The Alabama-based bank also does not disclose any fees, so it is worth your while to potentially prepare to pay application or origination fees.

Features and additional perks 

Like many auto lenders, Regions Bank offers an autopay discount. If you have a Regions Bank checking account and set up automatic payments, you’ll get a 0.25% interest rate discount.

The bank also offers a discount on qualifying EV loans, though it doesn’t provide information about the discount or what loans will qualify. 

And, as noted, the bank offers free gap insurance with its loans.

Fees and penalties

Regions Bank doesn’t publish information about fees and penalties on its website but may charge common loan fees, including origination fees or late payment fees. Read the fine print of your loan agreement before signing to confirm what fees will apply to your loan.

Regions Bank FAQs

How Bankrate rates Regions Bank

Methodology

Bankrate considers 18 data points when selecting top auto loans. Acceptance criteria, whether rates and fees are available and APR range all influence lender scores. These scores are broken up into four categories.

• Availability: Loan amounts, repayment options, dealership requirements and state availability all contribute to this category.
• Affordability: This section houses APR ranges, acceptance criteria, fees and discounts. 
• Customer experience: How long you have to shop, customer service availability, whether there’s an app and autopay availability are accounted for in this section.
• Transparency: This category accounts for the availability of fees and rates along with whether prequalification is available.