My credit really ***** and I have just been getting the run around with buying cars. I have done applications over the net for car loans and they call me and i go up to the dealership only to be told the same thing “you need a co signer or 2500 down”. Who can apply to that will actually help me get into a car?
JEFFERSON
Comments
Help yourself with self control. Take the bus until you have saved enough money to buy a car with CASH YOU EARNED.
How much can you afford to pay each month? With no credit and no down, you’re going to get raked over the coals on interest rates. Also affecting thigns are your employment history, your age, and your income.
I would target dealerships that have “special financing” but keep in mind… you will pay dearly for it if you get approved. That’s just the price of having poor credit.
If you can pay off a car in 3 years; you can consider a loan from Prosper (prosper.com). As long as your credit score is 520 or higher, you’re eligible. Those loans are funded by people who bid on your loan request; not by a bank. You’ll end up with 14-20% if your credit isn’t too good; be warned.
with no money down and no cosigner, your chances of even getting a car are very small and if you do find someone to help you your payments and interest rate will be outrageous. save up at least a couple hundred dollars then try… thats better than nothing. i lot of dealerships have something called an “in house” loan, which is a loan through the dealership rather than the bank. if you have to have one of those your interest rate will be high though.
dont buy one on credit then,…save up and pay cash for it or buy a cheap car ! If the banks dont trust you to lend money to is that for a reason such as defaulting? maybe you should sort that out before you buy a car.
Stop applying for loans. The more people who look at your credit actually help drop your credit scores.If you don’t believe me on that, go to your local banking center and ask a loan officer. They’ll tell you that. Right now you are considered a high risk. The only way if at all you can get a car without a co-signer or a deposit is with an outrageously high interest rate. I don’t just mean 19 0r 20%. I mean one that can go even to 29%. Basically you’ll pay double for the car you had to have without waiting and saving for a down payment on. The lenders are wanting to get paid, and they are going to ensure it the best way they can. My advice, you put the money away for a down payment. Yes it’s hard, but smart. Don’t roll your eyes or stomp your feet, you have to mend your credit, and by making a fast and bad desion by “i want it now not later” syndrome you will make your credit worse. Possibly even defaulting on your new car loan. Good Luck.
There are plenty of sharks out there who will help people like you, who are in an unfortunate situation. They literally make their money based on the fact that people in your situation have no place else to go and will pay an outrageous amount to get a car. This brings up the point that good credit is a valuable asset, and should be treated as such. I’m not going to lecture you about that. But bad credit and no money down usually means no car for you. Look at what you’re asking: “I have a past record of not paying my bills on time but I really need a car, and I don’t have any money to pay up front to show that I am doing this in good faith”. Sorry, but it isn’t going to happen.
If you have bad credit nobody is going to give you a loan without a significant down payment.
But if you have $2500 for a down payment you don’t need a loan. Find a good car and pay cash for it.
Don’t borrow again until your credit improves.
You CAN get a decent car loan, even with bad credit. I’ve done it, but you’ll have to look around. That’s one of the BIG mistakes people make…just taking the first offer that’s given to them when they go to the dealer. Be smarter than that.
WARNING: DON’T GO TO BUY A CAR WITHOUT HAVING THE LOAN FIRST. The auto dealers will eat you alive and give you a crappy rate. Shop around with lenders who specialize in bad credit car loans. It’s a better option, you don’t have to take what they’re offering if you don’t want it, and it’s better than dealing with the car dealer’s people.
There are usually some nationally based car loan companies who specialize in bad credit car loans who advertise on the page linked below…