Need loan advice...

[BlamoHammer]

My car died and so I need to pick up a new one. I have found a car to buy from a private party and I need to secure a loan to pay for it. Unfortunately my credit is pretty darn bad at this point in time and I may not have much luck securing a loan from any major lenders. Does anyone know the best way to get auto financing with bad credit? I know I will have a horrible interest rate on it and thats the way it goes sometimes so I am ready to accept that. Thanks for the help.

 

[BlamoHammer]

Anyone?

 

[kranky]

That's a tough spot. How much is the car worth, and how much do you need to finance? You need to get the amount of the loan down below the car's book value as much as you can to improve your chances. If you are wanting to finance nearly the entire value of the car it might take a while.

Some options:
Borrow some money from a family member to help reduce the size of your loan.
If you are a credit union member, start there. If not, start with your regular bank. Being a customer already will help a little.
See if the seller will finance you (very doubtful, but who knows. For 18% interest they might consider it).

Maybe some other bank peeps will have some thoughts.

 

[BlamoHammer]

Originally posted by: kranky
That's a tough spot. How much is the car worth, and how much do you need to finance? You need to get the amount of the loan down below the car's book value as much as you can to improve your chances. If you are wanting to finance nearly the entire value of the car it might take a while.

Some options:
Borrow some money from a family member to help reduce the size of your loan.
If you are a credit union member, start there. If not, start with your regular bank. Being a customer already will help a little.
See if the seller will finance you (very doubtful, but who knows. For 18% interest they might consider it).

Maybe some other bank peeps will have some thoughts.

Im looking to finance about...$6000 if that helps.

 

[kranky]

How much is the car worth?

 

[RossMAN]

First try a local Credit Union (preferrably one you have an account with) as they are usually more leniant in their lending criteria.

Do you know anyone (doesn't have to be family) that is willing to co-sign for you?

My last resort would be a financial company like The Associates, Beneficial, American General Finance, etc. You're going to get RAPED on interest so I hope you're getting a RELIABLE car to make this worth it.