You can still get an auto loan from sub prime lenders even if you have bad credit or just went bankrupt. Subprime lenders are companies that help people with bad credit get auto loans. And a car loan can help you build up your credit history, so that in two years you can get lower interest rates on all your loans.
Bad credit score
Traditional lenders are willing to work with people whose credit scores aren't the best. About 80% of people have at least one payment that was late on their credit report. So, you should ask traditional lenders for quotes before crossing them off your list. You might be surprised to learn that you can get low rates.
If you just went through a bankruptcy or foreclosure, you might need to use a sub prime lender. You can expect to pay a couple of percentage points more with these types of lenders than with a typical car loan.
Smart Shopper for a Car Loan
Even if you have bad credit, you can still shop around for the best rates on car loans. Online auto loan companies are finding that to compete with local banks, they have to offer lower rates. They can also lower fees by getting rid of overhead costs with technology.
To compare real costs, request quotes from several auto loan lenders. On a five-year loan, a difference of $8.50 a month can save you $500.
There are a lot of different things to compare, like rates, terms, and fees. Even though low rates are great, you may find that a low monthly payment is better for your money.
Simple Instructions
Once you've done your research, it's easy to apply for an online car loan. Most lenders will reduce or get rid of loan fees if you apply online. You can expect to hear back within an hour.
When you are approved, a blank check will be sent to you to give to the person selling the car. The good thing about an online auto loan lender is that only they know you have bad credit. When you go to a dealership with a blank check, they see you as a cash buyer and are ready to do business.
Go to http://www.abcloanguide.com/autoloans.shtml to see a list of online auto loan companies that we recommend.
