HOW TO GET A CAR LOAN AFTER BANKRUPTCY
IMPROVE YOUR CHANCES FOR CAR LOAN APPROVAL AFTER BANKRUPTCY.
If you're in the market for a vehicle and have been through bankruptcy, you're not alone. Our team of financial specialists have helped many people just like you drive away in the car they deserve. Here are two suggestions that could improve your chances of getting a car loan after bankruptcy.
SAVE FOR A DOWN PAYMENT
A down payment is a percentage of the total price of the vehicle you wish to own. Some dealers may have a minimum down payment requirement, while others may not. Regardless of whether the dealer requires a percentage upfront, having a down payment could lower your monthly payments. Showing the lender that you can save also helps instill confidence in your ability to handle financial obligations, and may even result in a lower interest rate. If you believe you cannot save a substantial amount in time, consider the trade-in value of your current vehicle.
RESEARCH WAYS TO IMPROVE YOUR CREDIT
Bankruptcy can affect your credit score, but there are many ways to improve your rating before applying for a car loan. One of the easiest ways to do this is to have a secured credit card. Secured credit cards are designed for people who wish to rebuild their credit, so your approval odds are usually higher than with other credit cards. Secured cards boost your score by reporting to credit agencies every month. To better your credit rating, simply designate your card for a recurring expense, like groceries or gas, and pay it off every month. A few months of on-time payments can boost your score considerably.
If you've experienced bankruptcy, you've likely experienced the anxiety that accompanies making large purchases with less -than-perfect credit. These suggestions can improve your chances of getting approved for a car loan in as little as a few months.