How to Find a Poor Credit Car Loan in Ayr
How to Find a Poor Credit Car Loan in Ayr
Posted on January 24, 2022
If you have poor credit, it can make buying a car nearly impossible. You could easily spend $40k on a new car, and that is an entry-level model. With poor credit, the interest rate would make financing the new vehicle unsustainable. Our Ayr auto loans team are going to show you how to find a poor credit car loan and also how to rebuild your credit. All so you don’t need to go through this emotional ordeal again.
Identifying the root cause of your poor credit
You need to understand the cause of your poor credit before you can do anything about it. Download the free credit report from TransUnion and Equifax.
Your score may be high with Equifax and low with TransUnion or vice versa. One reason a person may have a low credit score is due to a credit reporting agency error.
When you have your credit report, you must look it over for missed payments or delinquent accounts. Even missing a payment on your mobile phone can weigh down your credit score by several points.
Credit scores can range from 300-850. It depends on multiple scoring factors. Generally, if your score is below 620, it is considered poor.
After you have found the accounts that are delinquent or past due, you must pay them as soon as possible. The longer these accounts are outstanding, the lower your credit score will go.
Your repayment history is the most significant variable that impacts your credit score, and you cannot have any accounts past due if you want to have good credit.
It takes time for your credit score to recover
You may come across websites that promote quick and easy credit repair. By paying this company a fee, they will get your credit score up very fast. These are scams for the most part.
There are no “secret” tricks when it comes to rebuilding credit. Just pay your bills as agreed, and you will see your score bounce back.
While your credit score recovers, we need to get you a car ASAP
One of the reasons we had you review your credit report is to understand the source of your credit problems.
When you are communicating with prospective lenders, they are going to ask you why your credit score is low. You will need to prepare a response.
Did you lose your job because of the pandemic and that caused you to fall behind on your obligations?
By being truthful and explaining the cause of your credit issues, it shows you are taking responsibility which goes a long way when negotiating a car loan.
Something that can give you an advantage when trying to get a car loan in Ayr is finding an Ontario car dealership that works with poor credit borrowers.
Not every dealership is able to get you a loan. You must look for those that market themselves as “no credit refused.” By working with these dealerships, you will be able to get a car loan with poor credit and start leading a better life.
We’d love to help you find the perfect car loan. Simply fill in the form below and we’ll get back to you ASAP!
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