Learning to Make Poor Credit Work For You

Let us be honest, the past ten years have been real rough for most people in America due to the economy and its poor rebound from the late 2000’s.  Unfortunately, this has most of us in America with a less than ideal credit score that makes finding financing for things we need extremely difficult.  For individuals in this position, it is important to know how to handle their credit situation.  This is especially true when you are trying to purchase a vehicle.

The most important factor before anyone should do prior to getting a loan is to understand their credit score.   You should review your score and what is being held against you and is working for you at least once a year.  This is extremely important because individuals have the chance to challenge charges that should not be on their credit scores.  Not only will you be able to challenge any incorrect information, but you will have a better understanding of what range your annual percentage rate may be if you are approved for a loan.

Once you have determined the range that your APR may be, it is now time to determine your budget.  Using a loan calculator, you can use your pre-determined amount of APR and how much you can comfortably afford per month to determine how much money you can borrow.  Don’t forget to add your down payment to the total cost of the vehicle.  As well, it is important to use a 36 month cycle to determine the loan as this is a typical term for used vehicles.

Once you have figured out what your price range is, it is time to figure out what you need out of a vehicle.  This can make having a clear expectation for a reasonable deal and be able to know how to react when you hit the dealership.  It would be my recommendation to use a finance department that specializes in those with less than perfect credit such as Speedway Auto Group Finance Department.  These individuals will know how to best obtain credit for you to stay within your budget.


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