what are average bad credit auto loan rates?
Question by : what are average bad credit auto loan rates?
Best answer:
Answer by John Deere 4620
Mid teens.
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Tags: Auto, Average, bad credit loan rates, CreditQuestion by : what are average bad credit auto loan rates?
Best answer:
Answer by John Deere 4620
Mid teens.
Add your own answer in the comments!
Tags: Auto, Average, bad credit loan rates, Credit
If you can find anyone doing bad credit auto deals at all, the rates typically run in the 20-30% range. And these dealers charge higher prices for bad cars – a lot of them are wholesaled following accidents, or they are repos and were improperly maintained. People try to postpone or forego maintenance before they miss a car payment. Plan on paying double or triple what the car is worth when all is said and done – and charged.
Wanna stay poor for the coming decade or so? Want worse credit and less money than you have now? Do a “we finance anyone” car deal. They’ll fix you, but good.
There are actually several different levels of bad. You would need to know your level. Some finance companies that finance just about anyone with a job will charge in the 20+ percent range. Buy Here Pay Here Dealers will charge their state’s legal maximum (35% in my state).
Reputable car dealers with “Special Financing” departments may be your best bet. They have lots of sources and can usually get you financed somewhere. The rate they offer you is normally 3-5% above the rate they are paying for the money. They make the difference.
You may also want to get approved online before you go out shopping for a car. This will give you some leverage when negotiating the financing part of the deal.
Good Luck.
There is no such thing as “average bad credit”. You either have bad credit or you don’t.
Expect to pay 20% or higher IF you can even find someone to finance you.
Demama Seseer above me is a scam, don’t do that.
You need to buy a car with CASH. That will keep you from being ripped off at 20% interest.
Live within your means, unlike most of America.
There are a huge number of banks that deal with auto loans for people with challenge credit. The two best choices are:
1. Go to a very large dealership that advertises that they help people with credit problems. A large dealership will normally have more banks they work with, more talented leading specialist on staff, and stronger relationships with the banks. (There are exceptions to this rule of thumb.)
2. Put down a large down payment. The more money you put down, the more likely the bank is to give you the loan.
Also, note two additional things:
1. Depending on current rebate offers, a new car may be easier to finance with a lower payment and lower down payment for you.
2. Some credit unions are wonderful for people with credit issues.
My advice is to find a dealer you feel comfortable doing business with. Believe it or not, there are honest auto dealers and honest car salespeople. Try to find one you instinctively feel good about. Generally, you will get the best deal from a “good person”.
For car loan quote
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http://www.loansandinsurances.com/