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Here you will find answers to your questions regarding getting an auto loan with bad credit. Read brief descriptions of our blog articles relating to all aspects of the financing process, and click to read more. If you have any questions that are not answered here please do not hesitate to call us at 603-692-8700. We hope you find the answers you are looking for.

Who provides bad credit auto loans?

Getting an auto loan with bad credit is completely achievable. There are a couple of sources of financing available to individuals with bad credit, and this article will briefly explain three sources where financing can be obtained. Who provides bad credit auto loans? Read below for more information.


 

Gather these three things to get approved on a bad credit auto loan

Having bad credit should not stop you from securing an auto loan, however there are usually more hoops to jump through to secure financing than for someone with good credit. The important thing to understand is there are banks that give bad credit auto loans, but based on their evaluation of your application, they may require information before they give a final approval.

 

What is the right vehicle for a bad credit auto loan?

Selecting a vehicle to purchase is a big deal. The vehicle you select is not only going to be in your driveway the next morning, it will also be in your driveway years from now. Not only will this decision outlast most of the t-shirts in your drawers, you will also be paying for it each month for the duration of the loan. The selection headache may seem even more daunting if you happen to have bad credit.
 

How are credit scores calculated? What makes up a credit score?

Credit scores are widely discussed in the process of getting bad credit auto loans. You may hear your score being a 490 and in the same breath the individual telling you they are having difficulty getting you an approval. The question here is how does a seemingly arbitrary number have anything to do with your ability to get approved? Well, while the credit bureaus do not release their algorithms, they have released a basic breakdown of the factors taken into account for their credit score calculations.
 

Bad Credit Auto Loans: 3 Uncommon Reasons You Have Bad Credit

Has this ever happened to you: You go to a nice, new car dealership and meet a friendly salesman, one that is just friendly enough for you tolerate, but too friendly to completely trust. The salesman asks you what your looking for, and you tell him. He asks you what your looking to spend, and you tell him. Then you spend the next couple of hours looking at vehicles, trying them on for size, taking in the slightly intoxicating smell of a new car, and driving the tight, clean new machines. After maybe the third or fourth test drive, the salesman asks something like, "Would you like to take this home with you today," or, "Man this would look great in your driveway, wouldn't it?"

Getting an Auto Loan with Bad Credit for Self Employed Individuals

Getting a bad credit auto loan while you are self employed is, in some cases, more difficult than if your wereworking for someone else but it is by no means impossible. In most cases, getting approved for a bad credit auto loan is more involved than a prime credit loan and the added moving parts of the bad credit process are sometimes more difficult to get over for self employed individuals. However, don't think, "How can I get an auto loan with bad credit if I am self employed," think:
 

Bad Credit Auto Loans: Once you have submitted the finance application

If you have just submitted your finance application, chances are you are waiting for a phone call from one of our team. In working to get a bad credit auto loan approved, information will not only be needed on the credit application itself, but proof will also be needed. This is not because we don't believe you, because by the time this is all over you will be one of our trusted customers. However, the banks do not know who you are, where you live, or what you do. The credit anlysts will have to prove that they made the right decision by giving you a loan, and the following proofs allow them to do just that.

What does Loan to Value mean for a bad credit auto loan?

When working on getting a bad credit auto loan, a term you may hear is loan to value. A sales manager or finance manager may use this term to either explain why you cannot get approved for a specific vehicle or to try and sell you a vehicle other than the one you were originally interested in due to its advantageous loant to value ratio, otherwise known as the LTV ratio. While it is a common term, it is rarely described in a way that customers understand. So, here is probably the best description you will ever hear.
 

5 Reasons you shouldn't be afraid about getting a bad credit auto loan

If you are searching for a car and also happen to have bad credit, it is almost always a daunting process. Customers have their own ways of working through their fear, some don't come in to the dealership and prefer to do everything over the phone, while some nervously sit in the dealership for the hours it takes to get approvals on bad credit auto loans. However, all of the fretting and sweaty palms are of no consequence, and shouldn't be a part of the process because their are proffesionals who strive to provide bad credit auto loans in a respectful and courteous manner . Here are five reasons why I believe customers should not be afraid about getting an approval for a bad credit auto loan: