Has your credit been rejected on account of problems like delinquent bills or collections? It’s important to work with a bank or dealer that finances cars and trucks at reasonable rates of interest, even for consumers with credit problems. We’re proud to represent a wide-ranging network of dealers and lenders who can put you behind the wheel of the car or truck you want, even if your credit isn’t ideal.
An auto finance manager will be at your side, helping you arrange your finance package before you even walk into dealer showroom. Go ahead and get started.
Sterling Heights Car Dealers for Bad Credit
Have you considered where you could buy your next car or truck? For people with damaged credit, private party car loans are usually not an option. Odds are you’ll need to make your purchase at a dealership. Thank heavens there are dealers that specialize in adverse credit. Contrary to buy here pay here dealers, these types of dealers offer:
- Interest rates that are reasonable.
- Down payments that are fair.
- Vehicles that are more dependable.
You may not qualify to finance all the cars in the showroom. In most cases, when you’ve got adverse credit, the maximum amount you can borrow is 6 to 8 times the amount you earn on a monthly basis. For the Sterling Heights consumer earning $4,015 each month, this is $24,090 to $32,120. However, a maximum of 10% of your income ($402, in this case) should be allocated to your car payment, which will no doubt lead to a smaller loan.
Submit an application to see how much car you can afford.
New or Used Vehicle?
Have you thought about whether you want a new or used vehicle? It’s an important decision. It’s possible to finance new cars for longer periods, and at cheaper rates of interest, but you end up spending significantly more in the long run.
|New Car||Used Car|
|Length||5 years||4 years|
Your Job is Your Credit Dealerships in Sterling Heights, MI
Have you thought of getting financed at a buy here pay here dealer in Sterling Heights? These types of Sterling Heights bad credit car dealers offer financing on-site, typically without a credit check. Since they don’t rely on a bank or credit union for approval, they can assist a larger range of applicants. Often consumers with really low credit assume that an in house financing car lot is the only place that will be willing to finance them. But keep in mind, there are a number of downsides:
- High Interest Rates
- High Down Payments
- High Risk of Repossession
Rules of Thumb for Financing
If your financial comfort is a priority for you, approximately 8-10% of your income should be used on your car payment. At the same time, you don’t want to get a loan for more than 60 months. This means a vehicle costing about 50% of your yearly income. For Sterling Heights residents with incomes of $48,174 annually, the per capita average, this is $24,090. Bear in mind, this is the cap on what you should budget. Plenty of advisors propose paying even less, just 10-30% of your income for a new car or truck.