Bad credit can be a nightmare, especially when buying a car. Should you put all your eggs in the bank? What about a down payment? Is it even possible? Well, luckily for you, it's possible to secure a car loan with bad credit.
How Should You Start?
If you have less-than-stellar credit, the first thing to do is check your credit score. Checking your credit health lets you set realistic expectations when thinking about applying. Doing this will help you plan a budget for fuel, maintenance, repairs, and other expenses. You must also consider if you have time to build your credit before applying. Please know that the lower your credit score is, the higher the interest you'll have to pay.
Are There Ways to Get Approved?
Even with bad credit, there are still ways you can be approved. One is cosigning. If you have a family member or a close friend, they can cosign the loan with you, helping to eliminate the risk of repossession. If you have someone with a high credit score cosign, it will help you get a better interest rate.
Another way is putting down a down payment. A down payment goes directly to the principal. Using a down payment shows you're more likely to pay off the loan by putting your money in the game. The more you put down, the lower the interest, lowering the amount you need to borrow and paying at a smaller rate.
You can also turn to the team at our Glockner Auto Credit locations. At Glockner, we are dedicated to 100% credit approval and we are here to help you get the car that you need to keep on the road. Our "Buy-here, Pay-here" lots specialize in working with people with bad credit, and can help you get financing that works for you.
Places To Get Approved with Bad Credit
With ways to get approved, here are some places to help you on your journey. One way would be called "Dealer-arranged Financing," where most dealers work with different lenders to help you get approved. Most dealerships have a vast net of banks and lenders they can use, but they might bump up your interest rate to compensate for the service.
The Glockner Family of Dealerships has a fast-track way to get you approved, in addition to their variety of used cars for sale. All you will need to bring is a driver's license, tax returns, insurance information, a tax ID number (this can be an SSN), and an MC/PUCO number. If you have bad credit, be prepared to bring a pay stub to prove a steady source of income or proof you have a history of making payments on time.
With constantly looking at high interest, there is a way out. By making constant monthly payments and taking steps to improve your credit score, you can refinance your loan for a better rate.
Don't Let Bad Credit Keep You Down
Now, with the knowledge to help you succeed, don't let bad credit keep you off the road. For more information, contact your nearest Glockner Family of Dealerships in the southern Ohio area, and they will be happy to assist you.