If your credit score only qualifies you for a bad credit car loan you may find it difficult locating a bank or a loan company. Here are some tips on finding one of those lenders.
Locating a lender for a bad credit auto loan
Before we answer this question, we want you to know that if you have bad credit and you are serious about reestablishing your car credit and raising your credit scores, we want to help you. Our business is to match up our credit-challenged applicants, who have filled out our bad credit auto loan application, with dealers in our nationwide network that can help them get this type of loan. By doing this, applicants can not only reestablish their auto credit, they can also raise their FICO scores.
On the Auto Credit Express web site, we'll provide you, as a potential applicant, with much of the information you'll need in order to make educated choices about the credit auto repair process, since a poor decision might even result in getting trapped in a loan you can't afford.
This situation could also result in repossession. If this happens, the only remaining choice is a tote the note car dealer. It also means that reestablishing your auto credit has to be put on hold for at least a year, since even lenders that offer auto loans for bad credit will only consider approving applicants with a repossession that's over a year old.
Bad credit car loans
To begin with, there is a difference between choosing a bank for a regular car loan and a lender for a bad credit car loan. If you are unfamiliar with the process, here is what you need to know:
If you have good credit – that is, if your credit score is over 640 – you can usually shop around to a number of banks in order to get the best rate possible. As with most types of loans, the higher your FICO score, the better (lower) the interest rate.
If your credit score is below 640, the loan process is much different. To begin with, there are over 30 lenders that do subprime car loans. Many of these lenders are smaller local and regional banks, while some lend to customers in all 50 states. Their lending requirements are all different and, most importantly, most of them do not do direct lending. This means that in order to arrange financing for one of their programs, you have to go to a car dealer that has “signed up” with them.
Finding a dealer
Since these lenders don't list the dealers they're signed up with, in order to locate one of these dealers you might want to begin by looking through the local newspapers or the yellow pages. You might even try driving around to every dealer in your area in order to find one that can get you financed. Unfortunately, this takes time. It also might prove to be embarrassing if none of them can get you financed. But there is a better way to do this.
We've found that the easiest way to locate a dealer that specializes in bad credit car loans is to go to our web site at www.autocreditexpress.com. We have over 500 affiliate dealers in our network that specialize in bad credit car loans.
The Bottom Line
At Auto Credit Express, we specialize in placing customers with bad credit with dealers that can help get them financed. These dealers are knowledgeable and will treat you with respect and dignity. If you have any questions that our web site can't answer, feel free to call us at the toll free number listed on every page.
So if you're serious about getting your credit back on track, why not begin a new chapter in your life by filling out our bad credit car loan application now.