Bankruptcy, repossession, and foreclosure can damage your credit score. We have relationships with dealers and automobile loan providers who offer car loans for people with bad credit in Little Rock on a regular basis. This is how we help our users to overcome their credit ratings and get financing they need:
- Step 1: Our 60-second application is really simple to submit.
- Step 2: We leverage innumerable lenders and dealers.
- Step 3: Acceptance usually takes less than a day.
Bad Credit Car Dealerships in Little Rock, AR
Dealerships with teams dedicated to supporting credit-challenged car-shoppers tend to be known as bad credit car dealerships. As compared to a BHPH dealer, such dealerships provide significantly better loans. The dealer will assess your credit and income to determine the cars you can afford to finance. It’s best to choose a vehicle that won’t wipe out your bank account, with a payment of about 10% of your income. For people making $1,776 on a monthly basis, the average among Little Rock residents, this translates to a payment of $178.
An auto lending consultant is standing by, waiting to determine how much you’re qualified to borrow, and at what rate of interest. In order to chat with one, make sure you submit your application.
Zero Down Car Loans in Little Rock?
A down payment might be a hassle, but for those who have adverse credit, it might be required. Down payments result in lower risk loans, given that a lesser percentage of the vehicle is actually financed. At the same time, reduced risk should mean a more affordable interest rate. However, we recognize that setting aside 10-20% of the price of a new car isn’t that simple. Many people just sell their existing car or truck via Craiglist, then put the money toward a down payment.
Little Rock Buy Here Pay Here Dealerships
For those who have been through bankruptcy or foreclosure, a buy here pay here dealer could very well seem like a realistic approach. Nearly all dealer finance is indirect, as dealers work with a network of lenders to supply the loans, but BHPH dealers don’t. They act as both lender and dealer. Most often, higher-mileage autos are the only thing you can buy, and dealers may expect you to have an ignition interlock installed in your vehicle. Repossession frequently occurs, and the finance fees border on predatory. As if that weren’t enough of an issue, these dealerships seldom report to the credit reporting agencies, which means you could make each and every payment on a monthly basis without helping your FICO score.
Credit Improvement for Little Rock Residents
If you need another excuse to finance a car, here you go: a car loan not only helps you purchase the car you want, it can supercharge your credit score. Increases in credit score are by no means instantaneous, but after 6-12 months of on time payments, your credit score should begin rising. The positive results are gradual, gaining traction over time. The majority of banks and finance companies let you arrange an automatic monthly payment, so the payment is deducted from your bank.