Just because you have bad credit doesn’t meant that you don’t need a car. Yours broke down on the freeway, the air-conditioning doesn’t work, and your brakes squeak. Anyone would agree that its time for you to get a new-to-you car. In the past, people with bad credit have been snubbed by auto loan dealers. Fortunately, times have changed. You have options. One of your options is to apply for a Bad Credit Used Car Loan with us. We can connect you to tons of options that can let you drive your new-used car smoothly and coolly down the freeway.
Anatomy of a Bad Credit Used Car Loan
There are a few features of the Bad Credit Used Car Loan that other auto loans don’t have. First of all, it should go without saying that this loan product is only available for used cars and for applicants with bad credit. You should also be aware that your interest rate for this type of loan will be higher than for a loan for people with good credit scores. Lenders charge more interest for people with bad credit because they are considered more of a financial risk. The good news is that if your credit score improves while you still have your car loan, you can refinance for a lower rate. You should also be aware that lenders generally charge a higher interest rate if you don’t buy your used car from a dealer. You may want to seriously consider buying your car from a dealer to keep your interest rate a little lower.
Build Your Credit with a Bad Credit Used Auto Loan
The great news is that you can build up your credit score by obtaining a Bad Credit Used Car Loan. A new loan is a perfect way to show that you can pay your debts off in full and on time. Don’t forget to keep an eye on your credit score as you pay off your loan. As your credit score increases, so do your chances for obtaining lower interest rates. Choose a credit score goal with your loan consultant and once you hit it, refinance.
* Auto Loan Center is not an auto loan lender or broker, but provides information about auto loan products and lenders. Not all products and services are available in all states.