Do you wish to go for a car loan? What’s your credit score? How bad is it? Well, I guess you’ve heard and know how important credit score is in securing car loans right? But what if I tell you there is car finance loan for bad credit?
Yes! There is actually a number of auto lenders that provide car loans to people with bad credit you can check out. Having a bad credit isn’t and shouldn’t be the end of your desires to own a car through financing. It may be hard getting financing in that situation but it is very possible to get a good deal even with a bad credit.
Auto lenders take the credit score of a borrower very seriously when considering loan applications. It is one of the indicators they use to determine whether you qualify for a car loan or not. What usually happens is that, loans given to persons with bad credit are considered risky loans hence are normally given at higher interest rates and you may not qualify for a larger amount.
As a result, alot of these auto lenders have set the minimum credit score a borrower must have in order to qualify for a car loan whiles others are a bit lenient with the minimum credit score requirement.
So if you’re reading this and you have a not so good credit score, then know that there are some car finance loan for bad credit you may want to check out.
READ ALSO: Best Home Loans For Bad Credit
Top Car Finance Loan For Bad Credit
Here are some of the top car loan providers for persons with bad credit;
- Capital One Auto Finance
- Carvana Auto Loan
- Prestige Financial Services
Capital One Auto Finance
Capital One Auto Finance is one of the top five auto finance companies in the United States with millions of customers throughout the county. They are one of the go to Auto loan providers where you can get a good deal even with a not so god credit.
At Capital One Auto Finance, they do no have any minimum credit score requirement. So what they do is to look at the entire credit profile of the borrower to ascertain whether they qualify for a car loan or not.
Visit their website https://www.capitalone.com/auto-financing/ for more details.
CarMax Auto Finance
CarMax Auto Finance, which is a subsidiary of CarMax is another provider of car loans even to people who do not have a good credit score. Like Capital One Auto Finance, CarMax also does not have a minimum credit score requirement hence looks at the entire credit profile of the borrower.
They are able to provide financing to persons who do not have the best of credit ratings at a good rate as well. You can actually go through the application process online and receive a response within twenty (20) minutes.
You can visit their website https://www.carmax.com/car-financing to find out more about how Car financing at CarMax works.
Carvana is another auto loan provider good for borrowers with a not so good credit score. It was founded in 2012 by Ernest Garcia III, Ryan Keeton and Ben Huston and has quickly grown to become one of the top online auto dealer in the U.S.
They are experts in selling and providing financing for used cars and you can actually get financing by applying online.
Visit their website https://www.carvana.com/ to find out how you can also get a car loan from them.
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AutoPay helps you to find a lender that is willing to offer you a car loan at the best of rates. They make the whole shopping experience less stressful for you without really focusing too much on the credit score of the borrower.
They offer car loans from as low as $2,500 to $100,000. So you can check them out and trust that they will handle your car loan request with diligence and quickly as well. Click https://www.autopay.com/ to find out more.
Prestige Financial Services
At Prestige Financial Services, securing a car loan has been made accessible to all hence have no minimum credit score requirement. Prestige Financial does not focus much on the credit score of a borrower when considering one’s loan application.
They look at the entire credit profile of the person among other things to grant loans at very good rates. Good thing is you can apply for preappoval even before going to the dealership. However, you can only purchase from their partnered dealerships.
Visit their website https://www.myprestige.com/ to find out about how you can also get financing with your bad credit from Prestige Financial.
Although it is possible to actually get a car loan with a bad credit, it is not a guarantee that your loan application will automatically be approved. The lenders listed above can still reject your loan application if your loan is considered too much of a risk.
In that case, what you can do is to relax and build your credit score to a point that is acceptable before applying again. You may also want to consider getting a cosigner who qualifies for a loan to apply with you which increases your chances of getting approval.
Another way is to wait and save up some money till you can buy in cash from your savings or make a down-payment that could also increase your chances.