Bad Credit Auto Loans with No Money Down

One important point: don't get sucked into a web sites that promises you "all customers qualify" for an auto loan. If these sites are working with legitimate dealers that will help you restore your credit, there are always minimum requirements from lenders including income, age and citizenship and employment.

1. The first requirement is income. For most bad credit auto loans with no money down, the lenders require a minimum monthly income (W-2) of $1,800 if your credit score is less than 640. This is your income taxes are taken out. Lenders require the minimum so you can afford the payment and full coverage insurance while paying other monthly bills.
   
   You'll notice that this income is for W-2 employees. This is when your employer furnishes you with a W-2 tax form at the end of the year. If you receive a 1099 or if you are self-employed, the situation becomes much more complicated. Most lenders that offer bad credit auto loans with no money down will only consider W-2 employees. Lenders that might consider self-employed individuals will only do so if you can furnish three previous years of professionally prepared income tax returns. In addition, you may be required to furnish bank statements with deposits to support your stated income.
2. Secondly, typical lenders that offer bad credit auto loans with no money down usually require at least one full year with your current employer as well as three years of verifiable employment history.
3. A third requirement deals with your age and citizenship status. All applicants of bad credit auto loans must be at least 18 years of age and U.S. citizens - no exceptions.
4. A fourth requirement has to do with your bankruptcy status. As a rule, most lenders that offer bad credit auto loans with no money down will require that all Chapter 7 and Chapter 13 bankruptcies be discharged. A few will work with you if you are currently halfway through a Chapter 13 and you have obtained an order to incur additional debt through your trustee.
5. The final requirement concerns vehicle repossession. If you have one (either voluntary or involuntary) within the past year, it must be included in a bankruptcy. Any repossession that occurred before or after a bankruptcy will disqualify you for bad credit auto loans with no money down.