I want to explore car loans in this post. In particular, I want to focus on auto loans when you have a bad credit score.
Firstly, you should have realistic expectations. You want to allocate no more than 20 percent of your income per month for your vehicle, inclusive of:
- Payment Per Month
When you have a good credit reputation, you’ll find a car loan from a bank or investment company.
Next we’re going to consider how you might get approved for a vehicle when you have weak credit. As a way to get more people approved, many car dealerships are financing poor credit on site.
As the dealerships want to get cars sold, they have a lot of incentive to take on people for financing.
Working with a bad credit dealership is is not just like getting a traditional New Jersey car loan from a bank or credit union. It’s possible to get financed right on the lot, as long as you’ve got your paperwork in order:
- Valid NJ Drivers’ License
- Your List of References
- Paystubs or W2 to Prove Income
- Proof of Residence
- Social Security Card
- Down Payment
Sometimes car lots in Paterson, NJ will let you finance at zero percent interest; however, this is pretty rare.