The latest market analysis from Kelley Blue Book predicting an increase in new car incentives could be good news for buyers financing a new car with poor credit car loans
In the business
You should find the latest analysis of the new car market from Kelley Blue Book encouraging even if you are thinking of financing with terrible credit auto loans.
We know because we've been involved in bad credit auto sales for nineteen years here at Auto Credit Express.
Through our web site we also educate consumers about tote the note loans and cover the loan process to help applicants avoid the issues that often lead to repossession.
If you're planning on financing a new car, even if it's with horrible credit auto loans, it helps if you know where the new car market is headed, which is why the latest information from Kelley Blue Book could be helpful.
The September 8, 2011 report begins with the headline, “Japanese, Domestic Incentive Battle Imminent; Fourth Quarter Spiffs on Rise.”
It then goes on to state:
“Kelley Blue Book anticipates strong incentives late in the year in the form of cash and attractive lease offerings. As the Japanese replenish inventory and begin to throw cash on the hood, expect to see the domestics follow suit, setting off an incentive war.”
It goes on to say that “Consumers in the market for a new vehicle will likely find plenty of attractive deals in the latter part of the fourth quarter.”
Financing a new car
Taking this into consideration, these results could have the following effects on new cars:
• If the market moves in this direction, it could mean better new car deals as we approach the end of the year.
• Even if you have bad credit, you can still use new car cash incentives to lower the selling price which also means lower interest expenses on a bad credit auto loan.
Knowing this, applicants with poor credit should do the following:
• Know the contents of your credit report and your FICO scores.
• Choose a reasonably-priced car and with a monthly payment that is no more than 10% to 15% of your gross monthly income (the lower the better).
• The more cash you have for a down payment, the better. Not counting new car rebates (the higher the better), 15% or more will increase your chances of an approval.
The Bottom Line
Be aware of what's going on in the car market and know that even if you've been turned down for a conventional car loan it doesn't mean your only choice is a tote the note dealer.
At Auto Credit Express we help people with bad credit find a dealer that can give them their best chance at approved auto loans.
This means if you're serious about getting your car credit back on track, you can begin the process by filling out our online car loans bad credit application now.