Trying to find car loans with bad credit can make you feel like pulling your hair out, but it doesn’t have to. If you are feeling like it will be impossible to locate car loans with bad credit you can ease your mind. Now days there are programs available especially for those that have bad credit.
If life has set you back a few steps financially and you are in the market for a new vehicle you will want to continue reading for information that could be helpful to you.
What To Do
Begin by examining your credit reports. Review it for mistakes and if you find errors, request that they be removed. If you had temporary set-backs with any of your debts, write a letter to the credit bureaus. Use this letter to explain the reason you temporarily fell behind. Ask that these letters be attached to your credit report so that prospective car loan lenders can review the reasons for each set-back. For example you may have gotten sick and couldn’t work or you lost your job, etc.
Cleaning up your credit report and removing mistakes is a good place to start and can even help raise your credit score. Now that you have done all you can to increase your FICO score, let’s discuss where you should look for car loans with poor credit.
Where To Go (And where not to go)
The best place to locate car loans with bad credit is an auto broker. An auto broker is similar to a real estate agent because they work for you, on your behalf. A car broker is interested in getting you the best deal possible versus simply selling a car – today.
Many times an auto broker has a special finance department that works strictly with those that have bruised credit, bad credit, a bankruptcy or no credit. This means they have specific lenders who offer the best possible interest rates with poor credit circumstances. They will be able to obtain the best possible financing for you which will save you money and time.
Because the salespeople specialize in car loans for those that have bad credit you can rest assured they understand your situation and will treat you with the dignity you deserve. Bad credit does not mean you are a bad person or that you should be treated different because of a lower FICO score.
To locate car loans with bad credit it may be wise to avoid simply walking into the first car dealership you come upon. This is because they are out for each and every sale for the month and will go to all lengths to send you down the road in a new car.
In addition, you will run the possibility of you spending hours on end in the dealership, being passed from salesman to salesman. You could be rushed to sign an agreement and when you receive the first monthly statement you discover that your monthly payment is higher than what you thought.
Use these simple tips to locate car loans without pulling out your hair during the process.