Bad Credit Car Loans

Bad credit car loans are quite common as nearly a quarter of Americans are credit-challenged. If you have imperfect credit, you should have little problem of getting the car you’re interested in, as several thousand bad credit car loans are issued everyday in the U.S.

Before applying for one of these bad credit car loans there are a couple things you can do to ensure that the process goes smoothly for this specialized area of car finance:

Bad Credit Car Finance

Review your Credit History – Experts say you should review your credit report at least once a year to make sure there are no errors, and this is especially important if you are applying for a bad credit car loan. You can order a copy of your credit report, and sign up for credit management products through our partner, Experian.

You can get a free copy of your report at annualcreditreport.com. The site allows you to get a free credit report once every 12 months from each of the three nationwide consumer credit reporting companies. This is mandated by the Fair and Accurate Credit Transactions Act (FACT Act).

Bad Credit Car Dealers

Determine How Much You Want to Pay – You should have in mind how much you can comfortably afford for your car, for both a down payment and monthly payments. You can use our car loan calculator to help you crunch the numbers for your bad credit car loan.

Prepare Documentation – You may need to provide proof of employment and income. It’s helpful to have documentation in hand, such as pay stubs, in case you’re asked for it. This will speed up the process of getting your bad credit car loan.

Keep a Clean Credit History – You’ll want to make an effort to make on-time payments to keep your credit history clean. Also, if you need immediate cash, you’ll want to avoid unscrupulous car title loans. Many people lose their cars because of unfair terms. It’s much smarter to consider a refinance car loan, which involves accessing the equity in your vehicle.