Friday, June 13, 2014

SUB-PRIME BAD CREDIT AUTO LOANS - Twelve Most Frequently Asked Questions

Its a vicious cycle.... 

Lots of good people have ended up in financial hardship from job loss, illness or unexpected problems resulting in damaged credit. Once your credit is damaged, the only way to rebuild your credit is to get a loan and show that you can now pay. But how do you prove you can pay if no one will give you a chance? Guaranteed auto loans can be the answer for some consumers to rebuild their credit and get back on track.


Q. I have bad credit. Can I get an auto loan?
A. YES!! Bad credit doesn't mean that you can't get a car loan, and it doesn't mean that you will have ridiculously expensive monthly payments either. Your credit score doesn't have as much to do with getting a sub-prime loan as you may think. Credit scores are subjective to loan companies and what you may think is a bad score may actually not be all that bad to a sub-prime lender. Sub-prime lenders have made an entire industry out of providing
customers with bad credit car loans. With sub-prime lenders, your credit score is not as important as "stability and ability", or stability and ability to pay. That means your stability (time at job, home) and ability to pay (job, income). Used Car World utilizes a network or lenders to find a lender that will work with your specific credit, employment and household situation. We are experts in financing the "un-finance-able" and what makes us different from other dealerships is our Buy Here Pay Here program. If we cannot get you financed through a lender, we will lend you the money ourselves!

Q. I have no credit! What about me?

A. NOT A PROBLEM!! For all the same reasons we can get you a car loan with bad credit apply to those with no credit.

Q. I had a car repossessed, just went through a divorce, or bankruptcy...
A. YES, YES, AND YES!! (Hopefully you're beginning to notice a pattern here...)  Just like your credit score is less of a factor with sub-prime auto loans, the fact that you were unable to pay a car loan perfectly enough to avoid repossession will not prevent you from getting a loan. Our lenders look at your ability to pay now. Same with divorce and bankruptcy. We are interested in whether or not you can pay now, not what happened to get you in your current credit situation.

Q. I already have a car loan. Can I get another one for my spouse?

A. YES! Even if you already have an auto loan, our lenders understand that you and your spouse will need a car. Again, lenders care about ability to pay. If you have to ability to make two car payments, we can get you a loan.

Q. I am on a fixed income. Can I get a loan too?
A. YES! Whether its Social Security, Unemployment, a pension or any other type of fixed income, money is money. As long as your bringing enough in to pay your loan, we can get you a car. 

Q. I am self employed or unemployed...
A. YES!! Self-employment is still employment, and self-employed customers can still get a car loan. You may have to provide additional verification such as bank statements, but you will be able to get a loan. If you're unemployed and we cannot get you through our lenders, we can still get you a loan through our Buy Here Pay Here program. We are the bank!

Q. How much do I have to put down?
A. That depends! There is no one answer to this question. Since sub-prime lenders can't use your credit score to determine your ability to pay. Instead they use other factors like your ability and stability which depend on your personal situation. Some down payments are as low as $500.00, plus tax and tag fees. Beware of any auto dealer that offers bad credit loans with no down payment and "low weekly payments". Those "low weekly payments" add up to a whole lot each month. They are much more likely to have you paying a whole lot more for your vehicle than you have to, and are quick to repossess in the event of late payments and less likely to work with you to get back on track. There is a need for these companies, and they provide a service, but at a cost.

Q. Can I use my trade as my downpayment?
A. OF COURSE!! We take trades and buy cars outright through our "Cash for Cars" program. We will give you the highest possible payout for your trade to use toward your next car. You can get an online trade-in appraisal on our website.

Q. How much of a loan can I get?

A. THAT DEPENDS!! Like everything else, that will depend on your stability and ability to pay. We will do our best to get you what you want, and will make sure that we put you into a quality used car that you can afford.

Q. How long does it take to get approved?

A. MINUTES! Whether you are submitting your credit application on our website or with one of our salesmen, we will be able to provide you with a preliminary approval in minutes. You will be able to drive away same day in your new vehicle.

Q. Will this help my credit?

A. ABSOLUTELY!! Paying Installment loans in full and on time like car loans are the best way to raise your credit score. Each payment gets you one step closer, except you can drive your car while your repairing your credit!

GREAT! How do I sign up!? What do I have to bring with me?

Awesome! It depends on what you're doing. Everyone needs their identification, even if you're buying the car for cash. If you have insurance, bring it with you. It will make it easier to put your new car on your current insurance. If you don't have insurance already, no worries! We can get you insurance at the dealership. You will need to bring proof of income, and proof of residence. If you have a bank account, bring your bank statements. Bring whatever you have. If there's anything you're missing, we will help you get it. The more you bring with you, the faster you can drive away! 

We use many partners in lending! Here are just a few!