If you have a bad credit history, you already know how difficult it's going to be to get a car loan online. The process is compounded by the fact that you will have to pay a higher interest on the principal because of the bad credit history. You can still get a loan by following the simple tips listed below.
There are several websites that will offer you cheap low interest loans, even if you have bad credit. It's a good idea to check the authenticity of the site before you proceed. A few sites will give you really great interest rates but they will hide other charges that will eventually raise the loan payments. Search the reputation of the site by adding the word 'review' or 'complaint' after the site name. This will give you several results that you can review before making a decision. Check the local Better Business Bureau to find whether there are any outstanding complaints against the site. Do not take every complaint at face value, because it's impossible to please everyone.
Once you have found a reliable site, ask for a quote. Most sites will be happy to give you a free quote dependent on your credit history. Get in touch with at least three different sites so that you can compare rates. Once you have the quotes, use an online calculator to compare rates. You can also ask for a detailed breakdown of the rates from each agency so that you can compare. Don't be afraid to show one rate comparison to another site, as it might help you get a lower deal. Meet the lender in person if possible and carry all backup documentation that could be required.
You will have to pay higher interest rates to secure the loan. If you don't want to do that, then get another reliable person to guarantee the loan and take on the risk. You are more likely to get a low interest rate when you keep security for your loan.
Before you actually find a car to purchase, find out how much you can get on the best car loan online. If you get in touch with a reliable bad credit lender, they will tell you how much you can get and you can choose a car in that same budget. This is much better than wondering whether you will get the loan for the expensive car you've already chosen. Keep your expectations low and you won't be disappointed.
