Young buyers and new buyers alike struggle with one particular issue when trying to buy a vehicle from a dealership: how to get financing with no credit. Read on to find out!
The credit world can be very confusing but has become practically necessary to afford many different things in life. One of the best ways to get on the map is to buy a car, but that can be tricky too.
At Auto Credit Express, we understand how frustrating that can be as most of us were there at one time ourselves. That's why we've gathered some of the most important things you should know and do to safely join the credit world when you're new to credit.
Tips for Buying Without Credit
When it comes to needing to buy a vehicle for the first time, the task can seem daunting. For new buyers and young buyers there are a lot of grey areas that you simply just don't understand until it's too late. Here are a few tips and facts to help you make smart choices.
Check Your Report
You may think this is an odd thing to do if you have no credit. However, without checking your report, you will not know if someone has stolen your identity by opening lines of credit in your name. This can cause a lot of trouble for you.
Only Buy and Borrow from a Trusted Source
Understand your loan terms and what is expected of you. If you break your contract (for example: stop paying or returning your car), it can have a great negative result on your credit report.
Buying Used Is Smart
You may be mesmerized by the shiny new cars that the dealerships display at the front of their lots, but the pros may not outweigh the cons when it comes to your first car. They are expensive and having no credit will mean that your payments will be extremely high.
A used car though will be a lot more affordable, even if it is only one or two years behind the current model. Keep in mind that you are not only paying for the car, but for insurance, gas and maintenance too.
You Do Have Options
Some dealers may try to pressure you and make you think or feel that they are the only ones that will help you; that this is the only car you can buy. That is simply not true. There may be a lower number of dealers available for buyers with no credit, but there is certainly more than one choice. If you don't feel comfortable taking the offered loan, you don't have to.
The Best Way to Buy With No Credit
Going after a vehicle for the first time can be scary; but you don't have to do it alone. We've been helping people with no credit, low credit and bad credit since 1999 and we can help you too! All you have to do to get started is complete our quick online application for auto financing. We'll find the best dealer in your local area that will get you the best deal and make your first buying experience one you'll be happy with!