If you are facing some financial problems and losing hope of buying a car, you should know that you can still have a new or used car through a bad credit special finance car loan. Below are few options you can consider, although it is always better to buy a car in cash rather than getting it financed.
There are many car dealerships, especially used car dealers, that have in-house finance departments. Instead of placing a loan through a bank, you go to the dealership and offer to pay the dealer a certain amount every month. This has the advantage that you can have the vehicle right away. Be especially careful if you use this route in keeping all checks and records of payment, because some of the employees in this field have been known to pocket your payment and then mark you as unpaid for the month. After a certain number of missed payments, your car is taken away.
There are some used car dealers out there who are used car loan specialists who deal in the troubled loan market. They act as the provider of the funding to you and will often grant you a poor credit auto loan. One thing you will find is that the terms of the loan are very strict and that the loan payments and requirements could be very high. Be sure you make your payments on time and pay the amount required. Also be sure that, before you take any money from these people, any papers you sign don't allow the interest rates to climb sharply if you miss one payment or are late for a payment. If this is the case, then you might want to consider reporting this person to your attorney general's organized crime strike force. The only time you should really consider this route is if you have nowhere else to turn.
Many legitimate used car dealers or wholesalers run what is known as a no credit check auto loan store. Much like the in-house finance shop, they allow you to purchase a vehicle from them and keep it as long as you make the payments on time and you keep it according to the conditions laid out in the contract. Make sure of the circumstances in which they can repossess the vehicle and see how much and how quickly they will allow you to pay it off. Make sure there are no penalty clauses for early payment, either. If everything works out well, the only thing you have to do is make sure you make your monthly payment and you're on your way. If you do successfully pay this off, you will start to rebuild your credit for the future.
