If you're looking for auto loans and have bad credit, you've probably been told that you'll have to have a down payment. If you want to avoid high interest rates, high payments and down payments, then you should arm yourself with information.
Most people just don't know that car dealers make money on car loans, not just on cars. They aren't the lender, it's just that they make money by increasing the interest rate on your contract. If you're approved at an interest rate of 9%, they can come back and tell you that you're approved at a rate of 15%. It's called "making money on the backend". That 6% difference increases your payments dramatically and the only purpose is to make more money for the dealer, which puts a hefty commission check in the pocket of the finance manager.
It's not fair, but it's true.
You can avoid this by finding auto loans for people with bad credit, directly.
Yes, directly. Just because you have bad credit doesn't mean that there aren't companies waiting for your business and to give you the auto finance deal that you need to get the car that you want. How does no down payment sound to you?It's available, but not through traditional lenders. There are special finance companies online that will work with you, regardless of your credit situation and help you get the car loan you need with no down payment.
By getting your auto loan prior to shopping, you'll know exactly how much you can spend on a car and exactly how much your payments will be. When you walk onto a car lot you can have confidence to make an offer on a vehicle, without having to worry about whether or not you're going to get approved, because you know you already are!
Auto Loans For People With Bad Credit - No Down Payments Required