Buying a car with poor credit can be a challenge. Traditionally, dealers are not willing to offer financing to people with less than stellar credit, which can make it difficult to get a loan for a new car. There are other options you can consider, though.
Can I get a loan with a 500 credit score?
Buy here pay here car lot near me car lots are a great option for people with less than perfect credit. Unlike traditional dealerships, buy here pay here lenders don’t require you to fill out an application or provide credit information. Instead, the dealership will work with you to make the car purchase a reality.
These types of dealerships are not as convenient as traditional auto loans, however. You may have to make in-person payments or pay cash. They may also charge you a higher interest rate than you would find with a traditional lender. Also, you may be required to pay off your car within a short time frame or fall behind on payments.
While these types of dealerships may be useful for people with bad credit, they can be risky if you are not careful. Some may charge you for things you are not entitled to, such as reporting your payments to the credit bureaus. They may also try to sell you a warranty as a condition of the loan.
One of the better things about these types of dealerships is that they offer in-house financing. They may also provide a better interest rate than you’d find elsewhere.
