Posted Friday, May 28, 2021
Getting a car loan with no credit or bad credit can be tricky. In fact, bad credit car loans can seem impossible to find for some people. People with no credit may fair a little better, but not by much.
Today we’re going to break down the logistics of both bad and no credit car loans. Then we’ll discuss how our company can help you get a loan regardless of your situation.
Some people, whether through bad decisions or being blind-sided by emergency expenses, have bad credit. Even if your financial situation is different now and you’ve managed to take control of your finances, that doesn’t fix your credit score right away.
Unfortunately, finding cars for sale with bad credit can be a huge pain. It isn’t as easy as looking up “bad credit car loans near me” either; you have to be careful about watching for predatory lenders.
You want to look for bad credit auto dealers like us at Autos 4 Less. We specialize in selling “bad credit used cars,” cars that will be affordable even if your credit isn’t the greatest.
We even offer a bad credit car finance service. Buying cars for bad credit only to worsen under a bad loan doesn’t make sense. That’s what makes us a true bad credit car dealership; we will work with our customers to help them finance in a way that makes sense for their situation.
Seeking a car loan when you have no credit can be a similarly difficult experience. Loan applications for car financing are tough when you have no credit history for a credit union or other lender to look at.
Even when purchasing a pre-owned vehicle at a reasonable price, you may notice the auto loans you’re offered have high interest rates. If your loan is 84 months or more, you will understandably be hesitant to accept a loan higher than it needs to be, as that can balloon costs.
Here again, our company can help with car financing. In fact, such a loan can help you get your FICO score up and running. As you make monthly payments on time, your score will improve with your timeliness reflected in your credit reports.
We can offer different loan amounts at different rates, depending on the needs of our clients and the best rate we can offer them. Similar to bad credit financing, no credit financing doesn’t mean we can’t offer a quality loan; instead, it just means your rate won’t be as good as someone’s with good credit.
While having both bad and no credit presents similar challenges, it’s worth noting they aren’t identical issues.
With bad credit, you have an expected pattern for lenders to look at. It may not be good but if it isn’t poor, you may still be able to land loans with traditional lenders. The types of loans you can land will largely depend on how “bad” your bad credit is.
Having no credit, meanwhile, means lenders may not be sure how you will do when it comes to paying loans. In essence, you have nothing for or against you in terms of evidence you can make payments (at least going off your credit history).
Loans for people with no credit are perhaps more common and more reasonable, on average, than loans for people with bad credit. That said, there will be some exceptions depending on the exact “bad” credit history in question.
At this point, one may wonder whether they should work on improving their credit. The fact is that the car buying process is often one way in which people do this.
Auto financing is often a way people build credit when they have none or fix their credit if it is weak. In fact, one strategy people often employ is to get enough to buy a car outright but to take a loan in order to purchase the vehicle. This helps guarantee they make payments on time, but because they’re doing it through a loan, it helps their score too.
If you’re worried about our finance department trying to pull a fast one, we offer a car loan calculator and more to help ensure our customers only make a deal when they’re comfortable it’s a good one. While good credit is never a bad thing when financing with us or anyone else, it isn’t something you need to wait for if you’re looking to buy a vehicle.
Our model is not exploiting people with bad credit. We understand that’s a worry and acknowledge that some businesses are predatory. We are in the business of helping people with bad credit get quality vehicles at reasonable rates.
In fact, we’d like to help with credit repair if we can. Our packages are tailor-made for our customers’ needs. If boosting your credit is one of your goals, we can usually accommodate!
Autos 4 Less stands proud as a supporter of clients looking for cars but who may have a difficult time with traditional lenders. Bad credit car loans don’t have to be exploitative to be viable. We’ll work with you to get you a loan that makes sense for your situation.
We are able to easily serve those near our Puyallup, WA location, and are a common choice for Tacoma, WA residents! In fact, our deals are so good, people from all over can benefit from taking a drive over!