Kenneth and his 2008 Chevy Silverado
“Awesome! Zach works great with you according to your budget. The employees here are very helpful. It was a very smooth process.”
–Kenneth purchased a 2008 Chevy Silverado
Approval Specialist: Zach Dodge
Phone: 888-300-3502
If you are in need of an auto loan, and your credit is not so good, the first thing to consider is how much time you have to buy your car.
If you are not in a hurry, your first step is to obtain a copy of your credit report. Once you have your credit report, examine it for anything out of the ordinary or untrue. If there are items on your credit report you do not believe to be accurate, you might consider using a credit repair service for help getting them off of your credit bureau.
Once the negative items on your credit are corrected, you might want to get pre-approved for an auto loan through a site like WashingtonAutoCredit.com. You want to get pre-approved through a company that works with many different lenders to help you obtain your best loan. At WA Auto Credit, we have around 50 different lenders from Credit Unions to Local Banks to Finance Companies that function almost like Buy-Here-Pay-Here lenders.
What if you are in a hurry?
Things change a little bit if you do not have time to dispute the negative items on your credit bureau to try and get them off. If you need a car, and cannot wait, or if your credit simply cannot improve anymore, you need to apply for a bad credit auto loan. A bad credit auto loan obtained at the WA Auto Credit office will report as a new line of credit on your bureau. Additionally, if you pay the account as agreed, your credit will improve (assuming you do not do any more damage to it through your other lines of credit).
For people that used to have good credit, buying a car with bad credit can be a painful process. If you are used to being able to walk onto any dealership, pick out any vehicle, and call all the shots on your vehicle purchases, you are in for a little bit of a shock. Read More…
With all of the above types of vehicles, we always run into the same issues. If the lender will approve it, we can get you into those vehicles, but the payment is usually higher because you are usually spending more money.
If the lender will not approve the higher payment, we need to convince the lender to do a slightly older car with more miles on it, which will usually shorten the term and increase the payment. Otherwise, it is just another situation where the buyer might need to increase their down payment.
For older cars, the lenders that will consider them usually shorten the term of the loan dramatically (which increases your payment) and require large down payments to lower the risk of the loan. Older cars have a much greater chance of breaking down than newer cars, and many lenders have noticed that when vehicles break down their customers often default on their auto loans.
The only way to convince a lender to do a loan on a higher risk vehicle for a high risk customer is to lower the loan risk in other ways. Shortening the term of the loan has some effect, but for the most part, the best way to convince a lender to do a loan they really do not WANT to do is to put a significant amount of money down.
We have all done it: Buy something just because the monthly payment is low. It happens at electronic stores, auto dealers, and even late night infomercials.
There are so many ways to get credit cards and other lines of credit that it is unsurprising that so many people get in over their head. U.S. News & World Report put together a list of seven common financial mistakes. Among the mistakes they highlight is seeing the monthly bill as an indicator that something is in your budget. Read More…
Over the years, we have run into literally hundreds of customers that have asked us if they should go to a payday loan company in order to have more money down for their car purchase.
For the vast majority of people, it is a bad idea. You might as well be putting the down payment on a credit card. Taking out more debt in order to get a loan doesn’t sound like a surefire success plan when it comes to rebuilding your credit.
I did have a customer once that it sort of made sense for.
Her name was Linda. She had a long term job, and was a single mom.
Linda’s credit was shot because of a divorce, and her bank account was small because of her kids.
Linda had an old Ford Taurus that reliably got her to and from work every day. That was until her car got hit by a drunk driver. Thankfully, neither Linda nor her kids were hurt. However, her car was totaled and she only had liability because she was trying to cut back on bills and it was an older car.
Linda needed a car, FAST, and while she waited for the drunk driver’s insurance to work everything out with her lawyer, she had no way to get to or from work. Now, it was obvious to everyone that a pretty large settlement would be coming to Linda from the other party in the accident. The only issues were how long the wait would be and how much she would get.
Linda came up with the idea to get a 100 day loan from a payday company by calling 877-793-5212. She did not get crazy with the loan amount. I think she only borrowed $1500. With the $1500 down, she was able to buy a vehicle that was reliable and got her to work while the settlement was worked out. She paid the loan back, got her settlement, and paid her car off in full. No more payments.
One thing she does do now, though, is keep full coverage insurance on the car.
Many Consumers that could qualify before for auto funding are now being turned away from conventional lenders. Many are reverting to the internet for research and auto finance options. Online lenders offer a variety of loan options including products allowing you to purchase a new or used vehicle from a franchise and refinance products giving you the opportunity to refinance an existing loan and in many cases, lowering your monthly payment.
Anyone who has purchased a car in the past knows the normal routine. You find a car you really want at a dealership. You complete an application with the salesperson. Then you get carted off to a finance office where the finance manager tells you what your interest rate and payment is, what type of down payment the lender wants and when your first payment is due. In many cases, all are not what you expected. Online car loans put you, the customer in control. From the time you complete a simple application to the time the lender approves you and gives you the finances to purchase a car is short and you are in control. Be aware of some online lenders that “force” you to go to a particular lender. Check around for aAffn online that allows you to shop at whatever dealership you want.
If you have had some credit problems in the past, all is not lost and the internet is a good place for you as well. Even missing or being late on one payment has forced many consumers into a lower credit category with most lenders. One thing is for certain, you need to know how much you can afford and what you are willing to spend before you ever step foot in the dealership. If not, you will end up paying more than you want.
Here are a few things to consider when shopping online for a car loan:
Research: Make sure you do your homework. Many online company look like they can help but make sure you choose an online company that is an actual lender. An easy way to figure this out is if they have the word “lender” or “lending” in their name. You want to deal directly with the lender so you cut out the “middle man” getting you a better deal.
Options: Make sure you deal with a lender that gives you options. Whether that means you can be flexible on the terms (how long you finance it) or you have control on where you can purchase your vehicle, these are all important pieces and ones you will want to control.
Control: Going online and finding your auto loan puts you, the consumer, in control of the car buying process. Financing a vehicle is the second largest finance transaction most of us will conduct (behind only our house) so you owe it to yourself to find the best deal possible.
The internet is a great way to find affordable car loans and gives the consumer total control of the finance process. To find out more information about online auto loans, visit OpenRoad Lending.
The MILES Program is designed to help Active Duty Service Members get a fair deal on a reliable car through a reputable dealer.
Buying a car with less than perfect credit can be stressful. Luckily, there are some things you can do that will make the process go more smoothly. If you’re in the market for a vehicle (or you know someone that is) read on; hopefully this will help.
Be open-minded.
When you’re rebuilding your credit this is especially important. Our staff is here to help you, but it might not be possible to get a loan for your dream car. Think of this as a step up the ladder. It might not be time to buy that gorgeous full-size pickup truck just yet. However, if we help you get an auto loan and you make the payments on time, you might be able to buy that truck a lot sooner.
Shop efficiently.
Get approved before you come in, then make an appointment to come see your options. You’ll find the process much faster, and much less stressful than if your salesperson were zipping you all over the place looking at cars that might not work for you loan.
Come prepared.
Bring the normal loan documents: pay stubs, proof of residence (utility bills work for this), social security card, proof of insurance, and anything else we ask for. It makes the car buying process a lot smoother if you’ve got all the documents in hand.
Repair your credit.
Whether you decide to use our FREE Credit Repair Software (ReCreditPair) or to use a credit repair company to clean up the old negative items on your credit, it is a very important step. The combination of building new positive installment credit (your auto loan) and cleaning up the old negative items (credit repair) will help you increase your credit rating much quicker than just doing one of the two.
Have fun.
Have fun with the idea of getting a new vehicle; have fun with the idea of getting yourself back on the road to good credit. Let yourself enjoy it!
We’re always here to help you re-establish your credit with an auto loan on a reliable vehicle that will meet your needs. Give us a call at 888-300-3502 or drop us an email; we would be happy to talk to you about your options!
Sound too good to be true? It should, because it almost always is. Unless you have REALLY good credit, those pre-approvals you get in the mail for auto loans are bogus. There is typically 2x-3x as much text in the disclaimer area of the mailer than there is on the main advertising area.
"You're pre-approved! Come pick out your car!"
About 10% of the country is currently unemployed. Since there are so many people out of work, it is becoming common for people to be out of work for several months until they get their next job. If you have recently gone back to work and you are now ready to buy a car, there are some things you need to know about buying a vehicle after a job gap.
It can be hard finding an auto loan with a large job gap.
Is the worst of the financial crisis behind us? Well, I was skeptical, but now I am starting to believe.
Several auto lenders have recently announced friendlier loan guidelines, or they plan to by the first of the year. Lower interest rates, higher loan advances, lower acquisition fees. Slowly but surely, things are looking better.
As auto lenders start to see increased profits and reduced delinquencies, they have begun adjusting their scorecards to fit what they see as an improving economy. That is good news for millions of potential car buyers.
If you have been turned down for an auto loan over the last six months, or you simply didn’t like the auto finance terms you were offered at the dealership, now may be a good time to give it another shot. You might be pleasantly surprised by the terms of the auto loan.
If someone asks you to co-sign for them on an auto loan, think long and hard about it. By choosing to be the co-applicant Read More…
If your credit is “less than perfect” and you are self employed, you may have noticed that it can be very difficult to get approved for auto financing. There are lots of reasons for this, but the most important reasons are: 1. Auto loans for self employed people tend to Read More…
Let me preface this post by saying that it applies to people getting bad credit auto loans and first time buyer loans only. If you have good credit, lenders do not typically verify info with landlords or mortgage companies before they fund your auto loan.
There, now that that is out of the way… Read More…
Stop me if you have heard this before:
Customer calls “bad credit car dealer” to get pre-qualified for an auto loan. “Bad credit car dealer” tells customer they are approved for an auto loan and they need to come in right away before the financing expires. Customer drives to the car dealer, sometimes 4-6 hours away, only to find out that the dealer is asking for $5000 down (or they want a co-signer).
Sound familiar?
It happens every day…just not at WA Auto Credit. Read More…
WA Auto Credit is different than those other auto loan sites. Rather than just expecting you to take our word for it, allow us to break it down for you:
We want to have an answer for you within about 5-minutes of talking to you. When you apply on our site, we want you to call us as soon as possible so can do an initial interview, and after verifying the information submitted we will give you an initial estimate of what Read More…
I see it all the time. A potential client “fluffs” the information on their credit application so that they look better on paper and (hopefully) increase their chances of getting an auto loan Read More…
