Monday, May 8, 2017

Keys to Securing Bad Credit Car Loans

There’s a lot of misconception when it comes to bad credit and getting car loans. Just because your credit history is poor, doesn’t mean you can’t get a loan or can’t find one within your budget. You can as long as you take the following actions.

Don’t Assume Your Credit is Bad

Don’t let others persuade you that your credit score is bad. You really won’t know until you check it yourself. There are plenty of places online to complete an in-depth, accurate credit report. Good credit is considered anything from 700-749. Anything above this range is considered excellent, while anything below is considered fair.

It’s also important to note that not all lenders see credit scores the same way. You may have an easier time securing a loan, for example, if you made steps to pay down credit card balances. Additionally, some lenders prefer to offer loans to applicants who have bad debt, compared to individuals who don’t have any credit history at all.

Seek Out Car-Financing Dealerships

You can save the headache of getting denied repeatedly by seeking out bad credit car dealerships. These dealerships know that your financial history isn’t ideal, yet still offer loans because they believe everyone should have a shot at owning a vehicle. Just make sure you check the interest rates. Generally, they’ll be higher the worse your credit score is.

If you’re hoping to find a great car loan, even with bad credit, you still have many options. As long as you make sure the loan doesn’t hurt you financially, finding a car should be a smooth process.

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