Do You Have Really Bad Credit? Get A Very Bad Credit Car Loan Now!
“Poor “ credit is in the 300 – 619 range of the current FICO credit score. Very bad credit car loan is in the lower range of the “poor” credit scoring. Lenders have “levels” of poor credit and some lenders may only deal with the first level. Many times these people are there because of illness, lost of job or other catastrophe. Once this has passed they quickly begin to regain positive credit.
The range that we are talking about here are usually catastrophes followed with not paying bills on time or at all. Have many late payments for extended periods and many delinquent accounts.
It will be harder finding a dealer or a lender who handles these very bad credit car loans. When you do you will be paying very high rates. The sooner you can take control of your credit and improve it the better. It is advised to purchase a less expensive car that still meets your needs. You will save a lot of money in finance charges.
Have A Down Payment
You will more then likely need a down payment. A down payment of at least 20% will more then likely be required. The more you can put down the further this will go in securing a car loan. You might be able to negotiate a better rate if you put a larger down payment on the car.
You Will Need A Cosigner For Very Bad Credit Car Loan
You might also need a cosigner. It might be harder to find a cosigner then finding a lender but the cosigner might be needed if you need a very bad credit car loan.
Very Bad Credit Car Loan Credit Score And Credit Report
Get a copy of your credit score and credit report. If your credit is very bad then you will most likely be buying a cheaper used car. Here is a list of used car for bad credit to look at. You should still try to find a car that meets your needs but some cars are a better buy used then others. The simple fact is that some cars depreciate more rapidly then others but might be very dependable and reliable. Cheap, good and dependable is not a bad combination when your options might be limited.
So In Summary If You Have Very Bad Credit And Need A Car Loan:
- Have a good down payment
- Have a Cosinger
- Try to improve your credit if you have time
- Buy a used vehicle that meets your needs and improve your credit
- If you have a car you like and your credit does improve look into refinancing you might be able to save a lot or look into upgrading your car or buying a new car. With a lower interest rate you could save a lot of money and have a new car.
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