If you’ve had trouble in the past with bills or unpaid debts, you are probably wondering how you will ever get a car. These financial woes of the past don’t just vanish, so you could be looking at this roadblock for years to come.
This means that you need to find a car dealer who works with car buyers with bad credit. And, honestly, these dealers are everywhere. They “finance anyone” and offer “guaranteed financing.” But in order to find one that will treat you right and get you a fair deal, you need to do some heavy searching.
Finding the Right Bad Credit Car Loan
There are a couple types of bad credit lending options. It really depends on how good or bad your “bad credit” is. And that’s not a typo – the quality of your bad credit will determine your financing options. There are two types of bad credit: Situational and Habitual.
- Situational: this type of damaged credit is caused by life changing events such as divorce, job loss or a medical emergency. When an understanding lender can see that you had a solid credit history until X event took place, they will be much more willing to offer you better options.
- Habitual: these are the situations where your current financial standing is a direct result of financial irresponsibility such as overspending or taking out too many loans. These bad credit car buyers will often need to take measures to show lenders that they can be responsible borrowers.
When you have situational bad credit, you could find that you can get a loan similar to those who have good credit, and get better interest rates and terms. In the case of habitual bad credit, options may be limited as you will need to do something to show that you are dedicated to improving your credit standing, such as providing a larger down payment or accepting a higher interest rate.
We Are Your Best Fit
Get the right loan for your unique situation. The team here at Suburban Auto Finance has the experts that know exactly what you need. All you need to do to get started is to complete the online application. It is fast, free, easy and secure. Get on the right path today with the right bad credit car loan. Get the right fit today.