100% Bad Credit Car Loan Application AcceptanceWhat To Know About No Credit Dealerships
If you have bad credit or no credit, you’ve probably heard lots of horror stories about how difficult it is to buy a car. Whether you have delinquent accounts or bankruptcy on your record, or whether you graduated college with an insurmountable amount of debt and very little credit history, there are always obstacles to making big purchases like cars and homes. But the good news is that car dealerships have significantly reduced their credit expectations for car buyers since the peak of the recession. And it’s easier than ever to find no credit dealerships willing to offer you a loan without taking your credit score into account, as long as you follow some simple guidelines.
No Credit Dealerships and What You Should Know
Don’t let unscrupulous dealers try and tell you your credit is too damaged to get a car loan. Get your credit report and score before you start looking for a car so you’ll know exactly where you stand. But don’t make the mistake of assuming your score is too low, even for no credit dealerships. Every car lot is different, and while some might see a risk not worth taking, others can see a solid opportunity to make a sale. Remember, it’s a good time to be looking for a car and there are still deals out there even if your credit isn’t perfect. Most people are overcoming these same obstacles as more and more no credit dealerships emerge.
2. Don’t Settle for a Bad Vehicle
The internet can point you in the direction of independent dealerships that don’t require credit checks because they don’t report their loans to credit bureaus. While this sounds like a great deal, you lose out on the chance of improving your credit by making timely payments on a car loan, and the next time you need to buy a vehicle you’ll be in the exact same spot. And the cars at these no credit dealerships are often used vehicles from auctions that have mechanical problems or very high mileage. Don’t sell yourself short when shopping for a vehicle. This website can point you in the direction of new cars you’ll be able to purchase just as easily.
3. Be willing to Compromise
Yes, bad credit or no credit can mean paying higher interest and a higher down payment, but this isn’t the end of the world. Paying as much upfront as possible is the smartest way to buy a car. Be willing to shop around for the right loan, but don’t be taken by giant commitments like 84-month loans. No matter what your credit score, you can do better. Look at the entire terms of the loan and find the cheapest APR instead of being tempted by promises of lower monthly payments. Buyers with less-than-stellar credit are also more likely to be offered loans contingent on purchasing an add-on like an extended warranty or insurance policy. Make sure you understand what’s expected of you before you sign the papers.
If you’ve been worrying that you’ll never be able to purchase a new car because of credit issues, take a deep breath and realize it’s not impossible. The internet has made it easier than ever for customers with bad credit to choose from a wide inventory and an array of car loan options. Your dreams of owning a car are not out of reach just because you have to be a little flexible.