Car Loans First - Bad Car Credit Loan

Bad Car Credit Loan

If you're a car buyer in the market for a bad car credit loan, chances are you've been bombarded with ads that promote the concept that you can buy a car or truck no matter what your credit looks like. The flip side of the coin is that many of these car loans first ads are from buy here pay here or "tote the note" dealers. So how do you, as a consumer, sort through all this information? It can be very difficult. Most dealers that advertise "guaranteed credit" are buy here pay here dealers. These bad car credit loan dealers use what Canadians call "in-house financing" and hold the contract on the vehicle, themselves. They don't require a credit check and you make your payments weekly, bi-weekly or monthly. And while a no credit check car loan can seem appealing, this type of bad credit car loan will do little to improve your FICO score (also known as a credit score). These dealers rarely report your positive payment history to the three major credit bureaus (Equifax, Experian and TransUnion), so making payments on time will not help you the next time you want to finance a car.

Another type of bad credit car loan is done by applying for credit at one of the major national subprime lenders. Getting a loan with one of these lenders (many are banks) is more difficult than a "tote the note" dealer, but the type of vehicle that qualifies for this kind of loan is generally much newer with far fewer miles on the odometer. In addition to a much nicer vehicle, interest rates are comparatively lower and the lender reports your payment history to the credit bureaus. By making your payments on time, you can actually improve your credit score while driving a new or nearly-new car or truck.



For more information about Financing For New and Used Cars visit cardealerfinancing.wordpress.com

Car Loan Rate Calculator - Pre Quailify

Use the car loan calculator below to estimate the amount you can finance .

1.)Select a credit profile

Good Credit

700

Fair Credit

625

Sub Prime Credit

575

Bad Credit

525

Really Bad or No Score

NA

2.) Enter monthly income

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3.) Enter monthly re-occurring debts

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(Exclude utility bills and Car Loan)

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