We will give you tips on buying a car with poor credit score. If you stick with us to the end, you will be able to find a great deal on a new car, so be sure to hang around till then.
Are your finances in order?
The prices are car on rising at a rapid pace and are not going to slow down any time soon. A few variables are influencing the prices—lack of microchips limiting the number of new cars that are being manufactured.
With a limited number of new cars being produced and a build-up of demand from around the world, there are simply not enough cars for everyone who wants to buy one.
This is why you need to create a budget, so you can determine how much cash you can allocate towards the new car purchase.
Did we mention that car prices are on the rise? You can easily pay $600 a month for a new car, so you must be prepared to pay that amount.
Taking a closer look at your credit report
Try to check your credit report at least once a month and ideally every week as a rule of thumb.
There are apps you can download, like Credit Karma, that give you access to your report.
The current credit score needed for the best interest rates needs to be over 800; if your score is over 600, you can get a car loan at market rates, and if your score is under 600, you are in subprime territory where you could be paying upwards of 30%!
Luckily, even if your credit score is shaky, you can start turning things around, but it is up to you to make it happen.
For example, if your credit score is low, the most common reason for a poor credit score is that you are not making your payments on time.
Missed payments are the main reason that people have credit issues. If left unpaid, your credit score will continue to spiral out of control.
You may be tempted to use credit repair services that are advertised online; this is not a good idea.
These credit repair firms just try to use tricks to improve your credit score artificially, but these tactics could actually hurt your score over the long term.
Best Strategy to use for Buying a car with poor credit score
If you want to get your loan approved, your best option is to work with a local car dealership.
It may seem old-fashioned with everyone shopping online, but when it comes to world-class customer service and access to competitive car loans, then your best option is with a brick-and-mortar dealership.
These dealerships have direct access to lenders throughout Canada and will be able to help you get a loan even when other lenders have told you “No.”
We have covered what steps you must take if you want to get your car loan approved; you just need to take the initiative now and reach out.
For those of you who know that you have a challenging credit situation, please visit Dixie Auto Loans where we have a team of credit specialists ready to help you get approved for a car loan today!
Click here to get approved for your next car loan online today! we have a team of credit specialists ready to help you with buying a car with poor credit score, and will work with you no matter your credit score.
For any questions or concerns, please don’t hesitate to contact us here!