Your FICO score is is of great significance when financing a car, and fewer applicants have been getting approved thanks to economic downturn. It’s a good idea to find a lender or dealer that really does want to help you get the car loan you need. We’ve spent years forming a vast network of lenders and dealers that can serve the entire array of credit scores, not just the uppermost levels.
Your vehicle finance expert will help you arrange the auto loan you need, so the only thing you have to do is head to the dealer lot and choose the car you want. Visit here to contact a local finance professional.
Sierra Vista Dealerships That Accept Bad Credit
Most banks decline applications from individuals with weak credit. Fortunately, there are dealerships and specialty lenders that do cater to the sub-prime market. As opposed to buy here pay here dealers, these types of dealerships offer:
- Interest rates that are affordable.
- Down payments that don’t break the bank.
- New vehicles, instead of only used ones.
Your income and credit determines which cars you’re eligible to finance. Ordinarily, if you’ve got bad credit, the upper limit of what you can borrow is six to eight times the amount you earn per month. For the Sierra Vista consumer earning $1,771 per month, this is $10,626 to $14,168. With that being said, it’s better to borrow less than you can, limiting your monthly payment to only 10% of your income–$177, in this example.
An experienced finance professional is standing by, waiting to determine how much you’re eligible to borrow, and at what APR. Go here to submit your application.
Zero Down Car Loans in Sierra Vista
Do you have money saved for a down payment? In many cases, one is required. A down payment offers various benefits:
- Reduced risk of being underwater.
- Less amount borrowed, translating to less interest paid.
- Less lender risk, resulting in a decreased rate of interest.
Consumers in Sierra Vista are sometimes able to finance cars without down payments, but typically they trade in a pre-owned vehicle to satisfy any down payment guidelines.
Buy Here Pay Here Auto Loans in Sierra Vista, AZ
Buy here pay here dealerships would like you to think that you don’t have any alternative but them. However, this is rarely the case. These types of dealerships provide auto loans on location, unlike conventional dealers which outsource this, and they typically don’t do credit checks. Alas, you should expect high interest rates, expensive down payments, and cars and trucks that are too expensive for their mileage and condition. And if that weren’t enough, these car lots almost never report to the credit reporting agencies, and that means you could make all of your payments as agreed without reviving your FICO score.
Improving Your Credit in Sierra Vista
It might seem too good to be true, but it isn’t: a car loan not only helps you purchase the car you’d like, it can boost your credit rating. Your payment history is an enormous component of the FICO scoring model. Needless to say, financing a car means 36-72 months of payments.
Then again, you could potentially harm your credit by missing payments, or making them past due. It is tough to say exactly how much your score is going to climb, but some industry professionals have indicated a 5-10% increase per month.