SPECIAL FINANCING AUTO LOANSLiberty Auto Loan can help you find a special auto financing lender!
The Basics of Auto Financing
Unfortunately, bad credit makes getting a car loan and other loans difficult. Regardless of the situation or decisions that led to you having bad credit, whether it was situational or habitual, unexpected medical expenses or repeated bankruptcies, bad credit is an obstacle. But, in many cases, it’s not an immovable road block. If you’re currently suffering from poor credit, you may not be able to obtain a “standard” loan on the car you need to purchase. This is where LibertyAutoLoan.com can help with our special financing connection service. We work with a network of lenders and dealerships throughout the United States that offer these programs to buyers. And, we have matched more than 15 million consumers with lenders and dealers across the nation.
So, if you’re ready to overcome bad credit and buy a car, connect with us today. At Liberty Auto Loan, we want to help people get another chance to take back their finances. A car loan can be a great first step in rebuilding your credit.
What special financing means
and its function…
It sounds pretty auspicious, but what special financing really amounts to is lenders who are willing to look at more than just your credit score when determining your suitability for an auto loan. Most banks and credit unions will deny your application outright if you don’t meet their minimum credit score requirements, so it becomes necessary to look to more unconventional financing options.
In-house financing, rent to own, and “buy here pay here” dealerships will all usually be much more open to dealing with someone who has less than stellar credit. However, while these car dealers might not necessarily be as interested in your credit score, they will usually have shorter loan terms with higher interest rates and require larger down payments to protect themselves from borrower default. This can make it more challenging to fit a new car into the budget, but it is well worth it to improve your credit score if you can afford it.
It is extremely important to note that if there is any doubt whether you are able to appropriately handle a subprime lender’s loan, you should seriously reconsider your decision to purchase a vehicle. While taking on a short term, high interest loan and paying it off on time can help your credit score immeasurably, falling behind or defaulting on your loan can be catastrophic for your credit. Make absolutely sure your budget can comfortably accommodate an auto loan before heading off to the dealership.
All that being said, don’t let the potential consequences of getting behind on a subprime loan scare you off. As long as you don’t overextend yourself and keep a close eye on your budget to stay current on payments it is one of the best short-term solutions for quickly raising your credit score.
Special Financing Standards
Just like conventional auto loans, special financing requires that a few specific criteria be met in order to approve a borrower with a loan. In order to receive special financing, one must be:
• A United States resident
• Have a valid, state-issued driver’s license
• Be able to prove steady income
While these are essentially minimum requirements there are other factors that help with approval as well, not the least of which is the size of your down payment. It can’t be stressed enough how important a good down payment is to the success of an auto loan approval. The more you have to offer at the time of purchase, the more the lender has to counterbalance the risk of the loan defaulting, and the less you owe on the vehicle itself. This holds true no matter which lender you end up using. Your chances drastically improve the more capital you have to put down.
Seeking an auto loan online
vs. at the dealership
It may seem natural to seek financing from the brick and mortar location you intend to buy your vehicle from, but in a lot of cases, this may not be true. The time, effort, and gas it takes to pound the pavement looking for a dealership that offers in house financing or has a lender that can accommodate subprime lending can be an exhausting endeavor. Not to mention a disheartening one if you are routinely rejected each time.
The logical alternative to in-person applications would, of course, be seeking loan options online instead. A lot of the pressure of dealing with someone face to face is removed as well as the nail-biting anticipation of waiting to hear whether your request is approved or not. While shopping for a lender online requires you to be on guard for less than reputable companies trying to trick you out of your private information, the upside is having thousands of lenders at your fingertips only a couple of clicks away courtesy of Liberty Auto Loan.
Apart from actually finding a trustworthy lender to use, the hardest part of searching online is getting the necessary paperwork together for actually moving ahead with an auto loan. Once you have your lender all you need is your proof of residency, a valid driver’s license, and proof of income which should also include a record of employment. With these documents in hand, a good lender at your side, and a good down payment in your pocket you’re ready to head to the dealership to find the right vehicle for you.
Looking for special financing?
Our simple, online, special auto financing request form is quick, easy, and free.
And best of all, there’s no obligation on your part.
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