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Bad Credit is sometimes in the eye of the beholder. For those who have borderline scores (500-600) certain lenders might find you to be an attractive risk while others might see you as too risky. However, good car loans are available once again due to the improving credit market for borrowers. It's easier than it was a year, or even six months ago. With an improving economy, some financing resources are even reentering the non-prime auto finance market. It's a great time to be looking. The best piece of advice is to shop around, but that requires patience and careful scrutiny of each factor that can affect your car's price, not just the car loans monthly note. Be comforted by the fact that there are deals to be made. The more patient you are, the better deal you can get. First, you'll need to get copies of all three of your credit reports. You might want to begin this a couple of months before you start to shop and there are several websites that can help you. Plus, you get one free credit report each year, but there might be minor discrepancies between the ratings of two different companies. So, you might have to dispute some of this information. Take that into account. Even two candidates with identical scores might not be the same in the eyes of a lender. Be careful if a lender or lot that specifically caters its car loans to subprime customers. The best place to prequalify is at your bank. If you belong to a credit union, that's even better. Credit unions typically have higher risk thresholds and might be more eager to lend. It's also a good idea to ask your employer or insurance company if they offer auto loans. Check out the online lenders too. You might be pleasantly surprised. Look out for "cheap money" deals. This means car loans with the lowest APR over the shortest-term period. Some lenders might try and distract you with lower monthly payments over longer loan periods, but if you need more than a 60-month loan, can you really afford that car? Non-prime buyers often see lending contracts stuffed with nonessential goods, services or other add-ons like extended warranties, aftermarket services and even insurance. Never allow your loan to be tied to unnecessary add-ons. Finally, can the dealer confirm - in writing - that the terms are final, and without additional conditions? Walk away if they won't. Nothing's worse than driving away, then learning a week or two later that the monthly payment has suddenly increased. These are called "yo-yo sales and 1 in 9 subprime auto buyers will be caught up in this scheme. Looking for reputable, honest car loans? Saginaw, MI residents, click here! https://www.wildfirecu.org.
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