Do you have aspirations of owning a specific vehicle? What type of auto loan you get may be the difference between you purchasing the vehicle you yearn for or settling for something else. Well, don't settle!
Consumers with good credit will have demonstrated a "paid as agreed" credit history for at least three years. "Unapplied for" derogatory items on the credit report such as medical bills, and civil judgments from non-creditors are often ignored.
A bad credit auto loan is for people that cannot get pre approved for an auto loan through traditional lending sources such as local banks, credit unions or the lending arms of car manufacturers such as Ford Credit, and GMAC. These lending sources normally do not lend to people with low credit scores, recent bankruptcy, low income, zero down payment, or previous vehicle repossession.
Second chance auto loans are a lot like cars, themselves. They come in many different makes and models. If you've spent any time at all looking at daytime or late night TV commercials, you can't miss the "bad credit, no credit, no money down, everyone's approved" spiel coming from everybody from "Uncle Bob" to the "Credit Doctor."
High risk car loans, sometimes called bad credit car loans, special finance car loans or credit reestablishment loans, are car loans made to customers that have either no credit history, a FICO score below 620, or other blemishes on their credit report that would cause a conventional lender to turn them down.
Do you need a vehicle and are afraid you will not get approval for an auto loan? Do not assume that because you have bad credit that you’re not eligible to borrow money. Bad credit auto loan financing is available. More and more financial institutions are approving auto loans for people with bad credit and with reasonable interest rates.