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How to Finance a Car with Bad Credit in Cambridge

How to Finance a Car with Bad Credit in Cambridge

A bad credit car loan doesn’t have the best name in the world but it’s designed to get you a loan to keep you mobile even when you don’t have the best credit in the world. We asked our Cambridge auto loans team to explain the process of how to finance a car with bad credit. It’s quick, easy and painless!


How to Finance a Car Loan with Bad Credit in Cambridge


The main good news is that the process for applying for a bad credit car loan is almost identical to applying for a standard loan.


The main difference is that the lender will look more closely at your situation to make sure you can afford the loan and won’t default. It’s not personal, just business.


The process goes a little like this:


Check your credit score – Before you apply for the loan, you need to make sure you’re in a position to qualify should you apply. First check your credit score. Lenders will do this early so it’s useful to know where you are. If you have time, you can do what you can to improve your score. If you don’t have time, you’ll know what you’re dealing with.


Allocate a down payment – Down payments aren’t mandatory in any loan but we always recommend them if you have the money. Not only do they reduce the amount you want to borrow, they also help a lender make a decision. If you’re putting your own money down, they are more reassured that you don’t intend to default.


Set a budget – Use the amount of down payment and an auto loan calculator to see how much you could comfortably afford to borrow. Have a play around with loan terms and amounts until you come up with something you could live with over that term.


Get prequalified – Auto loan prequalification in Cambridge is a simple process that establishes whether you are likely to be approved for the loan you’re asking for. It uses a soft inquiry on your credit report so won’t be visible to anyone else. Use the budget you set above to see what kind of rates you would get on a loan if you applied for it.


Get your paperwork together – All loan applications require paperwork. You’ll need proof of ID and address, proof of income, proof of any savings or investments, proof of existing debts or anything that you’re mentioning on your loan application. Plus 3 months of bank statements to tie everything together.


Visit one of our dealerships – The Car Nation Canada team works with people from all backgrounds in all kinds of situations to provide competitive auto loans whatever your situation. We can help you too. Once you’re ready or if you need help getting ready for a loan, our team will be only too happy to help.


There is absolutely no reason why less than perfect credit should stop you doing anything and bad credit car loans are a case in point.


Contact Unique Chrysler for help, advice and competitive Cambridge car finance and leasing.


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Categories: Auto Loan

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