If your credit isn’t the best, getting financed is often the greatest hurdle when buying a new car, but we can put you in the driver’s seat in little time, with few complications. It’s best to work with a dealer or lender that caters to people with your level of credit. We have spent years forming an extensive network of dealers and finance companies who want to get you into the car you need.
Your vehicle finance specialist will walk you through the financing process, one step at a time. Go ahead and submit your finance application.
Lincoln Car Lots for Bad Credit
Bad credit doesn’t have to stand in your way when it comes to your next car. We have access to dealerships in Lincoln that are able to give you a second shot at financing. Generally speaking, these larger dealers offer:
- Fair interest rates.
- Lower down payments.
- Lower mileage vehicles.
Your income and credit will dictate how much car you can get financed. Typically, if you’ve got less-than-perfect credit, the maximum amount you can borrow is six to eight times the amount you make on a monthly basis. For residents of Lincoln making $2,922 per month, this is $17,532 to $23,376. That said, not more than 10% of your income ($292, in this case) should be put toward your car payment, which will in all probability lead to a smaller loan.
A dedicated finance specialist will determine how much you can borrow, and at what APR. To begin, just apply online.
Income Verification for Lincoln Residents
To avoid any hurdles, be sure you provide all the documentation necessary when you buy your car.
- Driver’s License: This enables the lender to make sure that the name on your license matches the one on your application.
- Proof of Income: Paystubs are very important, because they function to confirm your income.
- Proof of Insurance: Comprehensive coverage is mandatory, but you can often wait to obtain it in the dealer F&I (Finance & Insurance) office.
- Proof of Residence: Your address is crucial for lenders because it makes it possible to send you bills and updates in the mail, and it helps them in recovering the vehicle if they have to repossess it.
- References: Typically, you don’t be required to supply these unless you have bad credit. If you do, references are used to help auto recovery teams in cases where your vehicle has to be repossessed.
When you submit your application, we supply you with a finance expert who can give you all the assistance you need.
Lincoln Buy Here Pay Here Car Lots
People in Lincoln go to buy here pay here car lots, assuming they will only be able to get financed at one of these places. Rarely is this the case. Yes, they don’t perform credit assessments, so your credit problems probably won’t be an obstacle to approval, but you will find yourself paying handsomely for this.
Alas, you can look forward to excessive rates of interest, massive down payments, and cars and trucks that cost too much given the number of miles they have. If maximizing your credit score is important to you, and it ought to be, you should contact a finance professional through us, seeing as buy here pay here dealerships won’t help you in boosting your credit.
Guidelines for Financing
Your car payment, what should you spend? Just take 10% of your monthly income, which is the maximum you should spend. Be careful, though, that you don’t opt for a payment term of 72 months or more, which may lead to:
- Larger finance fees.
- Higher APR.
- More months spent upside down.
The truth is, it’s best to have your loan paid off in as little time as is feasible. This equates to a vehicle costing roughly half of your annual income. Here in Lincoln, where the average income is $35,068 a year, this would be $17,532 to invest in a vehicle. Overall, the less you’re able to spend to obtain a reliable car, the better.