Here at Auto Credit Express, our customers rarely ask what kind of car they should get with a bad credit car loan. They know what they want and it’s usually not a small to mid sized car. But getting their dream car with a loan designed to reestablish their credit is not the best idea. Here’s why:

Don’t get your “dream car”

While many customers want to buy that SUV, it hardly makes sense to do this. The high interest rates charged by sub prime lenders will put the payment out of the reach of most budgets, while insurance costs will make it even more expensive. It’s better to get a small to midsize car and, if your budget can handle it, finance it for the shortest term possible to save on interest expenses.

One step at a time

If you’ve financed the car for a shorter term, you should be in position to re-finance or purchase a newer vehicle in two years at a lower rate. Carry this contract for another two years and, with other improvements in your credit, you could be ready to finance your dream car at a near normal rate.

The Bottom Line

Don’t try and reestablish your credit with a big, expensive sport utility vehicle. Focus on getting back in the good credit game. Go to our web site at www.autocreditexpress.com. There you will find information that includes auto loan calculators designed to help you budget for a car. Here at Auto Credit Express, we hope to get you back “on the road” to credit health.