Bad credit car loan or buy here pay here auto dealer?

bad credit car loan

bad credit car loans

If you are thinking about getting a used car at one of those buy here pay here shops you owe it to yourself to try our service first. You can usually get a much better car with bad credit car loan than with a buy here pay here dealer. If you have less than perfect credit or bad credit a bank loan is often a much better option than a buy here pay here dealer. The buy here pay here dealers usually want a fairly sizable down payment. Sometimes it’s as much as $1,000 down. And then you may end up with a car that isn’t worth much more than that but you’re making payments to them every week or two.

Another thing you need to remember about buying a car when you have bad credit, and it’s very important:

You can still negotiate a better deal. You may have to walk away and go to a different dealer, but you’ll be surprised how they will suddenly become willing to work with you on the price of a car or truck when you hit the door and say you are leaving. Bad credit car loans exist to help people not only get a better car but begin to rebuild their credit. Check out our state and city pages for bad credit car loans to find local dealers who will work with you after you have gotten approval of your online car loan.

When you have bad credit the type of car you buy is very important!

Too many people with bad credit buy the wrong car and things get worse instead of better. If you have bad credit and need a new car you should use this opportunity to get a better car or truck in every way. What we mean by this is you shouldn’t just buy a car that runs good and looks good. You should buy a car that gets good gas mileage and is reliable over a long period of time. At a buy here pay here dealer you are stuck with the selection of cars they have. But with a traditional bad credit car loan that isn’t true. You can pick your car from any dealer.

To turn your bad credit into good credit you need to take advantage of everything.

This means when you buy a car you might not get the sports car like a used Mustang or Camaro. Not that these aren’t good cars, but a Buick Verano with a few thousand miles on it is going to get better gas mileage and will probably be better maintained. For a family car an older Toyota Camry may be a better bet than a great looking car with a ton of miles that maybe has a better stereo and a V8 engine.

Don’t worry about the Luxury extras!

You will be surprised at how much cheaper you can get a nice used car that doesn’t have leather seats or GPS. Those things are nice, but they really don’t make your car more reliable and if you have bad credit do you want to be paying extra for something that doesn’t make the bad credit car loan more affordable?

A great place to start is Consumer Reports

Click here to review cars