In addition to reestablishing your auto credit taking out a subprime auto loan can end up saving you more in other automotive related expenses
What our experience tells us
Car buyers with questionable credit may not realize it but by signing up for auto loans from higher-risk lenders they are also putting themselves on track to save even more money down the road.
At Auto Credit Express we know this because for over two decades we've been helping car shoppers with problem credit find those new car dealers that can give them their best opportunities for auto loan approvals.
Unlike loans from BHPH dealers, the second chance auto loans offered through our dealer network are from lenders that report both loans and payments to the credit bureau. This means that making timely can improve your credit history and raise your credit scores.
But there are also indirect advantages to taking out one of these bad credit auto loans. Once consumers begin the process of rebuilding your car credit, they begin to notice a gradual decrease in expenses in many areas.
Auto insurance and credit scores
While there are many things that are obviously tied to FICO scores – credit card rates and even the ability to get a credit card are some of the first things that come to mind - there are other areas of the vehicle ownership that are also affected by credit scores. One aspect of vehicle ownership that can be affected by poor credit scores is the cost of car insurance.
Auto insurance companies in many states are allowed to run a credit inquiry on you when you apply for coverage. If you have poor credit scores, they may charge you more for your car insurance. The reasoning behind this is that customers with lower credit scores are more likely to miss a monthly
insurance payment. Since a missed payment involves either collection proceedings or discontinuing the policy –situations that, in both instances, require additional expenses on the part of the insurer – insurers charge more for the same coverage to customers with lower credit scores to offset the increased costs.
The good news is that as your credit scores improve, insurance companies will, on a regular basis, reevaluate your policy. Provided nothing else changes – such as adding a teenage driver or receiving a ticket for speeding – you'll actually receive a reduction in the cost of your car insurance premium.
Helping lower your car insurance costs
So the bottom line is this: if you need a car, have less than perfect credit and are paying too much for auto insurance, web sites such as ours at www.autocreditexpress.com may be able to help you.
Here's what we suggest: instead of checking out a tote the note car lot, why not check us out here at Auto Credit Express where we match applicants that have experienced car credit issues with dealers that can arrange for approved auto loans.
So if you're ready, you can take the next step now by filling out our online auto loans application.