If you have bad credit, you may believe that you shouldn’t even bother applying for car loans with a Florida credit union. However, the realty is that vehicles are expensive but also a necessity, and credit unions understand that a few mistakes in your financial past do not mean that you have to go without a vehicle. Indeed, it is almost impossible to live in this country without a car, unless you live in the center of New York City, for instance. There simply isn’t a good public transportation system available here. Hence, if you want to work or go to college, you need a car. Thankfully, lenders, including credit unions, understand this and know that you may need a little helping hand. Let’s take a look at a few tips to help you get car finance.
Car Loans with a Florida Credit Union and Other Top Tips for Bad Credit Lenders
Smaller loan providers are usually the better options. They are interested in you as a person rather than you meeting their tick boxes. If you do want to go to a larger, national bank, consider walking into your local office and having an actual conversation with the bank manager.
Credit unions, however, are a much better option. Naturally, they do have loan requirements in place, but the tend to be a lot friendlier than banks. If you already have a credit union account, for instance through your employer, it is likely that you will be able to get a loan even if you have bad credit. Usually, they do want you to have been employed for at least 12 months.
There are some other great tips to make it more likely for you to obtain a loan through a credit union or other financial institution, including:
- Lowering the amount you are asking for. Perhaps you can put a down payment on the vehicle, for instance.
- Looking for a dealer that offers finance. This means that you pay the dealership, often on a weekly basis.
- Looking for a finance company that specializes in people with bad credit. Do be prepared, however, to pay incredibly high interest rates if this is what you decide to do. However, you could always maintain this loan to rebuild your credit rating and then refinance once you have gone past the period in which you would have to pay an early repayment fee.
Generally speaking, having bad credit will make it more difficult for you to obtain a car loan, or any other type of finance for that matter. There are numerous side effects to having bad credit, not in the least the fact that you will end up paying more for the same credit than you would have if you had a better rating. However, what matters is that solutions are out there for you. It is all about knowing where to look and what to look for.