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Steps for Getting an Auto Loan with Bad Credit

Imagine it: You’re getting ready to head to a bank or credit union with all your necessary documents and information to finance the vehicle of your dreams. Suddenly, someone mentions the importance of credit history.

Up to this point, you may have completely forgotten that lenders use buyers’ credit scores as a way to gauge your financial reliability. And after a couple of missed payments recently, your score isn’t anywhere near where you want it to be.

Fear not! Even if you have a poor credit history, or none at all, you can still get the loan options you’re seeking. With a few simple hacks, you can snag a great deal without stressing yourself out. And Fred Beans Auto Loans will get you there with this useful guide to getting an auto loan with bad credit. Check it out for yourself, and you’ll be on your way to loan happiness.

Check Your Credit!

Before we dive into the ways in which you can get a fair loan, let’s first discuss how you can get ahold of your credit history. Luckily, you can painlessly access your score at no charge from Equifax®, Experian®, and TransUnion®.

If you think we’re offering this suggestion because it’s wise to stay abreast of your financial information, you’d be correct.

However, an even more crucial reason that we’re presenting this tip is because studying your credit history can help you check for inconsistencies that could be harming your overall score. If you notice any discrepancies in your report, you should fill out a dispute form right away so that the mistake can be corrected.

That way, your credit history will be accurate when you head to your lender, and you could be in the running for a loan with better terms. Now that we’ve considered where you can easily obtain more knowledge about your credit history, let’s take a look at some suggestions for scoring an auto loan!

Shop Around!

When you’re searching for a dependable vehicle, it’s not uncommon to think that the first offer you’re presented with is the final bid. But, don’t let yourself be fooled!

Some lenders have more experience dealing with poor credit scores than others and may see your credit history in a more positive light. So, don’t get discouraged by a bank that presents you with an auto loan that’s not right for you.

Keep Track of Your Score

The good thing about credit history is that it can change. Depending on what your finances are, your score will fluctuate. Plus, those who monitor their report regularly tend to have higher scores in the long run.

While most financial experts say it’s only necessary to review your history once a year, to really see a change in your score, you’ll want to check it about every three months. So, make sure you’re reviewing your history regularly!

Bring a Friend!

When you’re dying to get behind the wheel of your dream car, you can easily settle for a loan with poor terms. Fortunately, taking a friend, family member, or spouse with you to the bank or credit union can help bring you back down to earth.

When a loved one tags along with you, they can offer guidance on which loan option may be best for you.

Toss Out the Non-Essentials

While negotiating the terms of your monthly payment, you’ll want to carefully review what your plan includes. If you notice any extra services that you won’t use in the long run, let the financer know, and they’ll adjust the details accordingly. That way, you can ensure that you’re only paying for items that you know you’ll need.

Apply for an Auto Loan Today!

Part of getting a reasonable auto loan with bad credit is locating a business with industry-leading customer satisfaction. So, when you’ve fallen in love with a vehicle, stop by Fred Beans Auto Loans. Our friendly team of experts will work with you to find the loan options you deserve, no matter what your credit score is. We’ll have you headed down the road in your new car feeling confident about your financing plan. Visit us today!