One of the most common questions put across by a person with bad credit is whether they are eligible for car finance. Well, if you have continuously missed payments for your loans, are you are unemployed, you will find that getting financial support for purchasing a new car is a difficult task. Most people need a car to get around, it has become a basic necessity in the life of any individual. Whether it is to get to a meeting, work related responsibilities or even just pick up and drop kids at school, people need a car now. If you are in need of a car and you are denied because of bad credit, there is nothing more frustrating than that! But, the good news is that you can still avail car financing support even if you are unemployed or have bad credit.
Check Your Situation
First step you need to do is analyze your situation as it might not be bad as you thought. Understanding where you stand financially will help you make the right decisions where necessary and apply to the right lending company.
If you do not know what your credit rating is, check your credit report from reliable online sources and then you can take an informed decision on things which you need to change to get the required financial support for purchasing a car. There are a large number of companies in the market which help you with credit facilities for free for a 30 – day trial.
Next step you need to take is having a clear budgeting in place once you are planning to go for financial support. You need to think about how much you can afford to pay each month. Another important thing to remember is that you need to chart out the payments as to how long you can keep up the repayments. To determine your financial budget, you should be aware of what your current earnings are and what your monthly expenses are. You should look at cars which will fit into your monthly budget and if you need to budget in car repairs and body works, you can always talk to our experts at Sheen Group.
The Right Lender
With bad credit you cannot just approach any lender. Majority of the finance agencies will only support individuals with good or decent credit as they do not want to take the hassle of arranging for repayments. However, there are fortunately many legal lenders which support bad credit individuals as well. Look for the right lender which supports bad credit holders with car finance as these agencies mostly look at supporting individuals rather than a list of numbers on your credit score.
The Right Car Credit
Once you approach a car credit vendor, the next thing you need to keep in mind is whether you are signing up for the right car credit option. There are quite a few options you would be presented with – Personal Contract Purchase, Hire Purchase and Personal Contract Hire. Talk to the experts to know which would be the right one for you and go for it!