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How To Buy A Car If You Have Horrible Credit

29 May 2017

Mathéo Gerard

Before you shop for a used car to buy, it might be wise to check your credit. If your credit score is really low, you might be worried that you will not be able to get a loan. If you are in this situation, you could always go to a car dealership that offers buy here pay here loans. These types of loans are designed for people with bad credit. Here are several things to know about buy here pay here car financing.

Almost Anyone Will Qualify

The good news about these loans is that almost anyone can qualify for one. There are typically very few requirements needed for a buy here pay here loan, and the dealer might not even run your credit when reviewing your application. You will need to prove several things, though, and this includes proving your identity, your income, and your address.

To do this, you will need a driver's license and pay stubs. You may also need to bring in several documents that prove where you live. In addition, you may also need to show proof of car insurance and offer references of people that know you well but that do not live with you. If you can prove these things with the right documents, you should have no problem getting approved for a loan through a buy here pay here dealer.

Why And How Dealers Offer This

Buy here pay here dealers basically offer their own financing to people who have bad credit, and they do this for several reasons. The main reason is to make money. People with bad credit will always have to pay more for loans, and buy here pay here dealers can make a good profit from these deals. They specialize in helping people with bad credit get cars, and this fills a necessary need in this world.

What The Loans Are Like

As a consumer, you may wonder what these loans are like, and there are several key things to know:

• You may have to make your payments in person
• You may be required to make payments weekly or biweekly instead of monthly
• You may have the ability to trade the car in or surrender it at any time and then stop making your payments

Your interest rate on the loan will be higher than it would be with a traditional type of car loan, but you should remember that you may not qualify for a regular car loan.

If you are not sure how good or bad your credit is and need to buy a car, you may want to begin the process by contacting a car financing company for bad credit consumers.

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