I Have Bad Credit, But I Need a Car…

Get Car Financing
Even with poor credit.

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Meghan Carbary has been writing professionally for nearly 20 years. A published journalist in three states, Meghan honed her skills as a feature writer and sports editor. She has now expanded her skill-set into the automotive industry as a content writer for Auto Credit Express, where she contributes to several automotive and auto finance blogs.


, - April 26, 2018

There are a number of car buying options available to bad credit borrowers, but the one that’s best for you depends on your specific needs and just how poor your bad credit is.

Buy From a Private Seller

One option for car buyers with bad credit is to buy a car privately. If the buyer has cash in hand, they won’t have to worry about financing. But, if they need a boost in funds, they can try for a direct loan from their bank or credit union. Getting approval with the financial institution the buyer already uses typically gives them an advantage, especially if they’re a member in good standing, since direct lending can be difficult to get with bad credit.

There’s no guarantee of quality or reliability when purchasing a vehicle from a private seller. Examine vehicle history reports and have the vehicle inspected by a trusted mechanic before purchasing to avoid paying back a loan for a vehicle that breaks down shortly after the purchase.

Find a Buy Here Pay Here Dealer

Buy here pay here dealers typically don’t check a borrower’s credit, which makes it easier to qualify for financing. A borrower still needs to prove they can afford a car payment, and their income is the most common thing these dealers use for this.

In-house loans come with high interest rates, and customers that use these dealers often find themselves having to make their payments in person biweekly or weekly, instead of monthly. Cars from buy here pay here dealerships tend to be older used cars with higher mileage, and a down payment is always required. Also be aware that not all of these dealers report payments to credit bureaus, which means a loan from a buy here pay here dealer typically won’t help a borrower improve their credit.

Let Us Help You Find Financing

Here at CarsDirect, we work with a nationwide network of special finance dealers that have lenders ready to assist people with tarnished credit. These subprime lenders look beyond credit to use other factors when approving consumers for bad credit car loans.

They use qualifications such as income, employment, and residency to see if a borrower is capable of taking on the financial burden of a car loan. Borrowers with bad credit will typically be required to prove they make at least $1,500 to $2,000 a month before tax, and will usually need a down payment of $1,000. Specific requirements will vary by lender.

We can help you find one of these special finance dealers when you fill out our free, no-obligation online auto loan request form. What are you waiting for? Get started with CarsDirect today, and we’ll get to work matching you with a dealer in your area who has the lending resources available to help you.

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Meghan Carbary has been writing professionally for nearly 20 years. A published journalist in three states, Meghan honed her skills as a feature writer and sports editor. She has now expanded her skill-set into the automotive industry as a content writer for Auto Credit Express, where she contributes to several automotive and auto finance blogs.


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