In Macomb, there are several options for securing a car loan, but we offer unequalled speed and service. Our expertise in the field is unmatched, and we have specialists approve you for the financing you need. We match you with a financing professional who can help you line up the auto loan needed for the vehicle you desire.
Bad Credit Car Dealerships in Macomb, MI
If you’ve got problematic credit, dealer financing is generally the only option you have, because most banks will be unwilling to accept your application. Fortunately, there are dealers that want to work with you. As with all subprime loans, certain things are to be expected more expensive interest rates and bigger down payments, as well as more exacting lending conditions. On the other hand, the rates and terms are far better than you would get at one of Macomb’s buy here pay here lots. Here at Motive Auto Finance, we work with many such dealerships, and you can find one ready to work with your credit by applying online.
Lowering Your Macomb APR Rates
If you want to minimize the overall cost of your next vehicle, make a plan to minimize your rate of interest. This could save you quite a bit. Check this out: a 60 month car loan of $55,710 would cost you $5,098 at 3.50% APR, $10,477 at 7.00% APR, and $16,966 at 11.00% APR.
To start with, finding and challenging any errors on your credit report can improve your credit score, and we all know that higher scores translate into more affordable rates. Additionally, make sure to pay down any debts you can, as lenders prefer applicants with low debt-to-income ratios. A loan of 60 months or less will come with a lower rate than a 6 or 7 year note, and it will reduce the risk of negative equity. Down payments are also worthwhile. The less The less of your vehicle that has to be financed, the better your interest rate will be.
Your Job is Your Credit Car Lots in Macomb, MI
Car dealers in Macomb that advertise buy here pay here financing have a few commonalities. They…
- Supply car loans direct to the consumer.
- Do not check your credit.
- Want you to make your car payments every week, often in person.
If you’ve got terrible credit, Macomb in house financing dealers are often the only real way to go, even though the annual percentage rates are much higher than a bank loan. In addition, they seldom report payments to the credit reporting agencies, which means the borrower’s credit score isn’t likely to increase as a result of the loan.
Rules of Thumb for Buying a Car in Macomb
If saving is one of your priorities, you should spend only about 8-10% of your monthly income on this car loan. On top of this, to decrease interest and equity issues, choose a 60-month repayment term at the very most. This will result in a car that costs around 50% of your yearly income. For Macomb residents with incomes of $74,280 per year, this is an automobile that costs $37,140. In most cases, the less you can spend on a trustworthy car, the better.