Auto Loan Shopping Tips 101
Ok let me give you some advice on getting the best bang for your buck when applying for a bad credit auto loan.
The first thing someone should do when researching car loans is to check their credit report. Double check to see if everything on the credit report is accurate and true. Chances are that there may be a few things on your credit report that were put there in error and you may have better credit than you think! If the errors on your report are not removed or corrected, then you may be put into a lower bank tier which may mean, a higher interest rate, and your loan may be placed with a "Special Finance" bank rather that a "Prime Lender" who will usually give you better terms on the auto loan.
One thing you should take notice of when checking your credit is your actual credit FICO score. For a long time seeing a credit score was considered privileged information for lenders to see only. Now with the many credit reporting services available online, the average consumer can see their credit score by simply ordering that type of credit report. Usually a lenders goes by one of the 3 credit bureaus' credit scores. Those credit bureaus are Trans Union, Equifax and Experian. It really is important to know if you have good or bad credit, this way you know what to expect when dealing with a dealer, and knowing exactly where you stand for your auto loan.
One important word of advice is to not depend solely on the car dealership to find you a loan. It is a good idea to do some bad credit auto loan shopping online before you make a decision. Usually dealers make a commission on an auto loan they provide for you which can be a bit costly to you if your not careful. I personally recommend that if posible, you secure a car loan before going to the dealership to buy a car, this way you can negotiate the sale like a cash buyer.
The first thing to look for is the best and lowest interest rate. This usually differs from one lender to the next. Credit unions can also be a great source for auto loans. Years back, credit unions only offered auto loans for people with good credit, now we are starting to see many credit unions offering auto financing for people with bad credit as well.
But don't get me wrong, car dealer do offer a great service that can save you a lot of time shopping around, if you don't have time to shop. They make the auto loan process quick and painless if you decide to apply through the dealership. It just may wind up costing you some money in the long run. They offer the convenience of dealing with a variety of different lenders and can get you an approval in practically seconds with todays technology. Remember, convenience is something you pay for in this day and age! - 21392
The first thing someone should do when researching car loans is to check their credit report. Double check to see if everything on the credit report is accurate and true. Chances are that there may be a few things on your credit report that were put there in error and you may have better credit than you think! If the errors on your report are not removed or corrected, then you may be put into a lower bank tier which may mean, a higher interest rate, and your loan may be placed with a "Special Finance" bank rather that a "Prime Lender" who will usually give you better terms on the auto loan.
One thing you should take notice of when checking your credit is your actual credit FICO score. For a long time seeing a credit score was considered privileged information for lenders to see only. Now with the many credit reporting services available online, the average consumer can see their credit score by simply ordering that type of credit report. Usually a lenders goes by one of the 3 credit bureaus' credit scores. Those credit bureaus are Trans Union, Equifax and Experian. It really is important to know if you have good or bad credit, this way you know what to expect when dealing with a dealer, and knowing exactly where you stand for your auto loan.
One important word of advice is to not depend solely on the car dealership to find you a loan. It is a good idea to do some bad credit auto loan shopping online before you make a decision. Usually dealers make a commission on an auto loan they provide for you which can be a bit costly to you if your not careful. I personally recommend that if posible, you secure a car loan before going to the dealership to buy a car, this way you can negotiate the sale like a cash buyer.
The first thing to look for is the best and lowest interest rate. This usually differs from one lender to the next. Credit unions can also be a great source for auto loans. Years back, credit unions only offered auto loans for people with good credit, now we are starting to see many credit unions offering auto financing for people with bad credit as well.
But don't get me wrong, car dealer do offer a great service that can save you a lot of time shopping around, if you don't have time to shop. They make the auto loan process quick and painless if you decide to apply through the dealership. It just may wind up costing you some money in the long run. They offer the convenience of dealing with a variety of different lenders and can get you an approval in practically seconds with todays technology. Remember, convenience is something you pay for in this day and age! - 21392
About the Author:
Want to find out more about Bad Credit Auto Loans, then visit Frank A. Williams Jr.'s site on how to find the best No Credit Car Loan for your needs.
posted by X - Men @ 7:11 AM
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