Im trying to buy a car, but as of now I have limited credit history and more than likely will not get approved for an auto loan. No one I know is willing to co-sign me, either..fear of damaging their credit. My question is, how can I go about financing a car now?
2007-02-22 22:41:58 · 3 answers · asked by Kim 3 in Cars & Transportation ➔ Buying & Selling
unfortunately the only possible way to get a loan is to get a secured loan
that is where the items are that are purchased are put up as collateral so pretty much only things like a new car will be accepted
so if you go into payment default the car is repoed
2007-02-22 22:50:30 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Have you actually had your credit report run? Do you know your credit score? Just because you think you have a limited credit history does not mean you won't get credit. Unless you have already been denied. If you have not even gone to a dealership to have it checked out, don't "assume" anything. Go into a dealership confident...don't let them know you have doubts about your credit. Let them do the work for you and check out your rating. You may be suprised. Or you could be right, but let them tell you. If you look unsure or think your credit is bad, they have the edge and they will charge you more interest because you think your rating is low. If your rating is low, you may have to put more of a downpayment on a car. And the worst that could happen is your credit is denied or you have to get a co signer. But you already think that, so you haven't lost anything by trying.
My only other suggestion is..think real good about what you want. And DON'T buy into a payment. Buy their best price for the car. If/when they ask you how much can you afford to pay a month, do NOT answer that...they will use that figure and basically work the deal backwards. You can afford 300.00 a month...make the term longer and the interest rate higher all to make a deal. And you could get stuck with a 5 year contract and a higher interest rate. Get the best deal on the car, then talk about financing and payments. Work you way to an affordable payment from the price of the car.
So go into a dealership with no clue what your credit rating is...go in thinking it is golden.
Don't buy into a payment, but into the cost of the car.
Don't give them the edge, go in with the edge.
2007-02-23 09:33:07 · answer #2 · answered by just me 6 · 0⤊ 0⤋
Ttry some of the lenders on this page for bad credit car loans:
http://axalda.info/bad-credit-car-loans.html
2007-02-25 13:22:21 · answer #3 · answered by Anonymous · 0⤊ 0⤋