Where you apply can make a difference when you need a bad credit car loan
Applying for a bad credit auto loan
Where to start when you have bad credit is one of the more important decisions you'll have to make when applying for a problem credit auto loan.
We're aware of this fact because for the past two decades we've been involved with bad credit car sales both online and through our retail dealerships here at Auto Credit Express.
During that time we created a web site for people with bad credit that explains the horrible credit auto loans process along with the issues that can lead to repossession while showing why, unlike a tote the note dealer, the loans our dealers offer can lead to better credit scores.
With that, there are usually three ways car buyers regardless of their credit can apply for an auto loan, so we'll go over how each is affected if you have bad credit.
The first option is applying directly with the lender. This can be done either by visiting a bank and applying with a lending officer or by going online to apply for a loan.
This method works well if you have good credit, but if your credit scores fall below a 640 FICO and you need no credit auto loans it's not that simple.
Because of their documentation requirements (i.e. verifying employment and income) most bad credit lenders only work indirectly through franchised new car dealers. Because of this, consumers with poor credit usually find that applying directly for a car loan is not only difficult, but their choices are also restricted and they could end up paying much higher interest rates.
Applying at car dealerships
A second option buyers have is applying for a loan at a car dealership. This also works well if you have good credit, since you can shop for loan rates online to compare them with those being offered by the dealer.
If you have bad credit, however, this can be hit-or-miss since not all car dealers work with people with poor credit.
Applying at bad credit web sites
For buyers with poor credit, a third option is applying online at a bad credit auto loan web site. The chances of getting approved when you do this depend upon the size of the site's dealer network and its transparency.
Transparency means how the web site presents itself. Is the online car loans bad credit application secure? Does the site belong to the Better Business Bureau and if it does, what is its reputation with the BBB? Does it offer a resource section where you can learn about the loan process and does it include finance calculators to help you determine if you even qualify for a bad credit auto loan?
Finally, does it have a toll free number you can call in order to speak to an in-house customer service representative about your individual situation?
If it doesn't have these features, you might want to consider one that does before deciding to submit your personal information.
How we can help
The Auto Credit Express web site has all these features and specializes in placing customers with bad credit with dealers that can help them get approved for a bad credit auto loan.
So if you're serious about getting your car credit back on track, you can begin by filling out our online car loans bad credit application now.