Month: September 2021

Second Chance Auto Finance – Should You Use a Buy Here Pay Here Car Lot If You Have Bad Credit?

If you are in the market for second chance auto financing, you probably have been tempted by the notion of using a buy here pay here car dealership to obtain a car loan. You should seriously think again because in the world of secondary auto finance, there is simply nothing worse than using a dealership that finances their own vehicles.

The amount of money that you are charged for the vehicle is generally much more than it is actually worth at retail. It is common for vehicles at buy here pay here car lots, to be priced at amounts that are up to 200% more than they are worth at retail book value. The reason that these types of establishments can get away with this is because the people that generally patronize their dealership, are at a loss for options. Or, so they think. There are alternatives to this type of financing that can be taken advantage of.

The interest rates that are charged on vehicles financed through these types of establishments are astronomical. It is common that you can expect to pay upwards of 20% to 30% on the amount financed. This equates to 50% of your monthly payment going towards interest charges. Using other alternatives, you do not have to pay these incredibly high percentages. There are much better options available online.

Online auto financing offers you the opportunity to be paired with a lender based upon your past credit history. Rather than seeing if you’re able to get approved or not, it is a simple matter of being matched with a lender that will approve you.…

Car Financing – You Don’t Have to Pay Too Much

People who are looking to buy a new car sure have a lot to think about, especially in today’s world. To begin with, there are the basic concerns about which car to purchase. You will want to consider size and mileage. You will also want to consider some more personal aesthetic choices, such as style and color. Beyond all of these decisions, which can actually be pretty fun, you will also want to think practically. When we talk about thinking practically in this case, we are talking about money. We are talking about how much money you can spend, what kind of monthly payments you can make, and what kind of budget you have for car financing.

Let’s face it. Looking for a new car can be a lot of fun, but the car financing can be a horrible experience, especially for those who have a tight budget. Having to deal with the financing can force some people to really face the facts. People can sometimes go years and years without really every considering how much money they make. When it comes to that first big auto purchase, however, it all ends up on the table. We are talking here about how much income you have and what kind of expenses you have. We are also talking here about credit scores, which are also very important.

This is why if you are interested in car financing, you really have to make sure that you are prepared. This means that you will have to do more than just sit down with your calculator and look at a few pay stubs. You are really going to have to look at all of your expenses. You will also want to get a free credit check. You will finally want to look at your long term goals. Will you be making the same amount of money a year from now? Will you be making less? Is your job secure.

These are the kinds of questions that can make car financing a painful experience for some. If you want to skip the high payments and soaring interest rates, then you do have that option when you get your car loan online. By using the right website, you can end up with the lowest possible monthly payments on your car. This allows for greater financial flexibility and also a chance for you to catch up on your other expenses and payments. With the power of the internet at your fingertips, there is no reason to settle for more than you can pay.…

Getting Auto Financing After Chapter 7 Bankruptcy

Despite the economic times that we’re all facing now, it’s good to know that there are lending services that are helping everyday people get into car loans that otherwise would not be able to get financing.

The recent “Clunkers” program that offered government funded incentives for people to trade in aging vehicles, did not provide help to those that are not privileged with good credit.

Even with a Chapter 7 bankruptcy, instant approvals are available for people that normally wouldn’t be able to get a good deal on auto finance through typical car dealerships. This is great news for many people that need a car, but haven’t been able to get approved.

If you’ve had a Chapter 7 bankruptcy, in order to qualify for these types of lending opportunities, you have to have your bankruptcy completely discharged or dismissed by the courts. What this means is that the 341 meeting of creditors needs to be completed with no more court dates pending relating to the bankruptcy. If this has been taken care of, then you can look forward to getting a fresh start.

When you deal with some local dealerships, they simply have a hard time getting you an approval for an auto loan because they sometimes are not equipped. They may not have the lending resources in your local area that are available throughout the country for people that are in your situation. Overcoming a Chapter 7 bankruptcy can be a difficult obstacle for some car dealers to overcome.…

Car Loan Finance Terms You Should Know

The world of car loan financing can sometimes be a conceiving one, particularly if you hear words and finance terms that mean nothing to the ordinary customer who only buys and financed a vehicle every few years. When the banks or dealers go over the car financing with the consumer, they may get confused. Prepare yourself for you next car loan financing by knowing the bank and dealers vocabulary beforehand. That way more people, including you, can take better car loan financing for their individual situation and ensure you are getting the best deal possible for you.

* The Principal Balance: the amount of funds you borrow from the finance company. That does not include the cost of your financing or interest charges. It includes the price of the vehicle, sales tax, license fees and any aftermarket or back end products you may have purchased like an extended warranty.

* Down Payment: how much you pay up-front for the vehicle, typically 10% to 20% of the vehicle’s negotiated price. This amount is deducted from the Principle Balance you finance.

* Finance term: the length of the loan, typically up to five years, but can range to eight years nowadays.

* Finance Charges or Interest Rate: a percentage paid by the customer to the bank for the financing of the vehicle. The longer you get to pay back the bank, the more you will pay in finance charges.

Before applying for your car loan financing, make yourself a budget. There are several advantages to making and sticking to a budget. Firstly, most people have set financial goals that they would like to reach in the future. Sometimes it may be a trip, a brand new car, or a college education. A budget can assist people save cash to make these goals a reality. Additionally, almost all people are crushed under heavy borrower debt. Without a disciplined pattern of spending, it is virtually impossible to make much headway in reducing debt. A personal budget will assist the necessary framework to start eliminating these inflated account balances.

For more finance terms and other information about getting the best deal on your next car loan or refinance car loan, go online to OpenRoad Lending. We want you to feel comfortable conversing with the lending institution, and speak fluently in “lender talk.” At OpenRoad Lending, we ensure that our customers know exactly what is going on, what to expect throughout the car financing process, and what we offer in the most simplest of car loan finance terms.…

Don’t Get A Auto Loan Till You Read This Article

Are you looking to find a auto loan? In this article, you will discover the information you need to be able to find the best auto loans.

There is a lot to auto finance, and there are many different companies out there that can offer you car loans.

Finding the best places to get car loans from is an essential, if you want to find the best options, then you are going to need to do the research.

Research is essential to find the best auto loan options.

There are many different car loan lenders out there, and the more options you have, the more room to find the lowest interest rates, which will result in getting the best prices.

So, how do you find these options?

There are many options when you look through auto magazines, because you can find some great options, options from all different places, and this can be a great idea.

Billboards around town is also another method to find some amazing options.

But, there is also television, which can be a great idea to find some of the latest and best offers.

Another place to look is online, and the internet can be a great idea to find quotes quickly.

If you want to save, then consider looking online, where you can find some amazing options, and save big!

There are many different lenders, and with these methods we have looked at, you can be sure that you will have found the best options.

So, invest the time and do the research, you will find the best offers quickly.…

How to Get an Auto Loan With Bad Credit

I’m going to show you how to get an auto loan with bad credit. It’s actually easier than you may think.

Bankruptcy, repossessions and foreclosures are on the minds of many Americans. These words used to be taboo in American culture. With the recent tragedies in the economy with job losses and the crash of the stock exchange, these words are becoming household names.

The more severe your credit problems… the narrower your options for getting a car loan. There are only a few places that you can get a good deal on auto financing with bad credit.

Dealerships are not your first option. Quite to the contrary. If you have bad credit, you’re better off either trying to work out something with a local lender that you know. If you don’t know a local lender that can give you a personal favor, then your best option is to seek out special finance companies online.

There are options on the table for you. You can get an auto loan approval through websites that match people with bad credit to lenders that meet the criteria needed for an approval. These companies offer a quick turnaround time on loan applications and can have you in the driver’s seat in no time.

Just remember however, when you get that approval, even though you may be approved for higher payments, try to stay conservative with what you borrow. After all, with today’s economy, you never know what might be waiting for you around the corner.…

Car Loans – The Lender’s View

Getting a car loan today is getting easier. The tightening we have seen in the economy is finally starting to shake out a bit and lenders are beginning to lend again. Even though the economy is improving, lenders still look at a few key factors when making a credit decision. Regardless of your credit history, here

are a few things that a lender looks for when reviewing your car loan application.

Ability:

The lender reviews your employment situation and income to see if you have the ability to pay for the loan in which you are applying. Most full time jobs are considered but lenders do not take into account income from seasonal or part time employment unless you can prove that you have worked at this position for a long period of time and can show that there is a good chance the income will be continual. They will want to ensure that you can prove your income with a current pay stub.

Stability:

Lenders are always concerned, regardless of your credit score, of your stability and if they can locate their collateral (in this case a vehicle) in case something was to go wrong and you stopped paying for the vehicle. Stability includes both residence (you have lived in the same place or area for a long period of time) and employment (you are not changing jobs every few months so you income is stable). Most lenders require proof of residence which can be validated with a utility bill in your name which shows your current home address.

Equity:

All lenders want to know that you are committed to the loan in which you are applying. One way to know this is down payment. Lenders are more likely to “stretch” and be more aggressive with their underwriting if you have a large down payment on the loan. A standard down payment required by most lenders is 10% of the purchase price of the vehicle. Anything north of 20% shows a strong commitment to the loan and a lender is more apt to be aggressive with their loan decision.

Many customers are reverting to online lenders for their auto financing needs. Online lenders allow you to apply from anywhere and get a loan decision back in just a few minutes.…