Used Car Loans

Ways of Getting Used Car Loans

The price of new cars can sometimes feel prohibitive depending on your budget, but there are some great used cars out there, and getting used car loans is easier than you might think. 


In the years after the 2008 recession, credit scores took a hit, and many people found themselves ineligible due to divorce, bankruptcy, or just overall debt load for the prime, or preferred, financing that new car dealers offer. As an alternative, independent car dealers often end up with a great selection of pre-owned vehicles, so buyers can have a current vehicle that does not cost them an arm and a leg.


There are a few ways to get one of the used car loans available. Many major banks offer these loans, and the process is quite simple.  Be sure to have all of your supporting documentation ready when you go in, and the decision will be given back to you in a few minutes.  If you get the loan, they will send you to the dealer with a check, since you have now been pre-approved.  If you have no credit history at all, you may not be able to obtain one of these loans, since the bank only sees a blank credit report, and does not have a way of knowing you.


If you do choose to finance your car, have a good-sized down payment ready, if you can. This will help lower your monthly payments since the amount of the loan will be reduced from the beginning.


Credit unions are another source of auto loans.  One advantage they have is that they are community-based, so they are more likely to want to grant a loan to a local resident.  They also are more likely to grant a loan to a long-term member because you have an established relationship with them, and unlike a big bank, they know who you are and what you are about, which is more than just a credit score.


If your credit is less than perfect, regardless of reason, there are places that will still be willing to talk to you about a used car loan.  One such place is here at the Car Credit Headquarters.  These are also handy places to help you work towards getting your credit rebuilt. Establishing a relationship and proving you are indeed credit worthy by making your payments each month on time will boost your credit score, and rather quickly.  Have your pay stubs handy and be able to demonstrate that you have a stable place to live – both of these will help you tremendously because they show that you are indeed reliable and worthy of getting a used car loan.


 Car Credit HQ also has credit specialists who can help match you and the car you want to buy to the right used car loans for your budget.  The company was started by vehicle financing experts who know how to navigate the perplexing world of financing by using an association of financing parties to get you into a reliable car quickly. No matter what your credit issue is, whether it is no credit, bad credit, or even bankruptcy, let help you.