Many people with past credit problems still get approved for car loans. These tips can make it easier and help you get a better deal.
1. Know where you stand
You can get free credit reports from the three bureaus at AnnualCreditReport.com. Check for mistakes and dispute anything that is wrong.
2. Save for a down payment
Lenders like to see you have money in the deal. Even a modest down payment can help with approval and lower your payment.
3. Gather proof of income and residence
Recent pay stubs, a utility bill and a valid driver’s license are commonly requested. Having them ready speeds things up.
4. Choose a practical car
A reliable, affordable car keeps the loan smaller and easier to approve. Browse our cars under $10,000.
5. Consider a co-buyer
A co-buyer with steady income and good credit can improve your approval and rate. Both of you are responsible for the loan.
6. Shop rates in a short window
When you apply for auto loans within a short period — typically 14 to 45 days depending on the scoring model — credit scoring usually treats the inquiries as one.
7. Focus on total cost, not just the payment
A very long loan can make the payment look small while costing much more overall. Use our payment calculator to compare.
8. Pay on time to rebuild
An auto loan paid on time every month can help rebuild your credit, which can help you refinance later.
We work with lenders who specialize in all credit situations. Apply online or call (704) 984-2427 to talk it through.
