Bad Credit No Problem!
We all have seen those signs on car dealerships- No Credit Bad Credit- No problem. Wait… to have bad credit is not a good thing but it is something a lot of us deal with when we want to buy items like a new car.
Having bad credit won’t stop you from buying a car but here are some tips to follow so you don’t get yourself in more financial issues.
- Know your budget! People have credit issues when they buy something out of their budget. So if you know you can afford $300 a month don’t go for a loan for $500 a month. You will defiantly get yourself into more trouble so stick to what you can afford.
- Work on your CREDIT before even looking into buying a new vehicle. Before applying for a loan make sure to clean up your credit. This will improve your chance of getting approved.
- Save up for a bigger downpayment. Your down payment can offset the interest, taxes, and fees. Remember the bigger downpayment then lower the monthly payments. Lower monthly payments will help you stay on track with your loan.
- Read your loan documents. These type of documents can be very confusing. So make sure you read and understand what you are signing. Never drive off the dealership without having a document that outlines everything you and the dealer talked about when purchasing the vehicle. Remember your credit and money are on the line so you need to make sure you understand and agree with everything in the loan document.
Not letting Bad Credit Get In The Way!
Having bad credit doesn’t have to stand in the way of your new vehicle but you will have to do things differently. You might have to put down a lot more money than you wanted, not getting the heated seats you think you need or your loan might be a high percentage which will cost you more money in the long run.
But our advice is to do the above tips PLUS make sure you are prepared before going to the dealership. Do your research!
We know that East Hills Subaru will help you get into the vehicle that best suits you and your family. Please leave a comment on your tip on buying a car with bad credit.