I Need a Car. I Have Bad Credit. Can I Get a Loan?

Many people, during these recessionary times, have taken some hard hits on their credit reports. But having bad credit does not mean that you do not need transportation. You may be thinking that you will need to repair your credit before you can land a car loan. Do you have the time to do that? Repairing a bad credit history could take a couple of years, sometimes longer. Your need for wheels probably does not meet up with that sort of time frame. You cannot wait that long for a vehicle because of your job, your family or your day-to-day needs. You need to find a lender who specializes in bad credit car loans.Do not get trapped at dealershipsYou may be familiar with the process folks with bad credit have to endure at auto dealerships, even those that supposedly deal with folks with poor credit. Hefty down payments, usurious interest rates and the just the high pressure makes for a less than friendly atmosphere. Sometimes the dealer is leaning against a vehicle you do not really admire, he is waving loan papers before your eyes, and he is telling you what a great big favor he is doing for you since you have bad credit. You do not need, nor do you deserve, these situations. Lenders who specialize in bad credit car loans are available to help you avoid these situations.Shopping for a bad credit car loan onlineA plethora of dealers who specialize in bad credit car loans are available on the internet. You will even be able to find bad credit car loan lenders who will not ask for a down payment. Your best bet would be to enter your general information with a broker who has access to networks of lenders. They will reward you with a list of lenders who would be most likely to approve your loan according to the interest rates and repayment plans that would make you feel most comfortable. As with any online transaction, you will want to take care that you are dealing with a reputable lender and protect your identity and financial information.Online applications are easy and speedyOnce you have found a lender with whom you feel comfortable, the final application process is quick and easy. You will need to offer some sort of valid identification such as a driving license, military identification, passport or something similar. You will need to prove your residency; usually a utility bill with the same address as your identification is valid. You will also need to prove your employment and salary. Pay stubs or bank deposit slips usually suffice. Having a banking account with direct deposit also helps.You might want to consider a cosignerUnderstand, since you have bad credit, even online lenders are going to charge you interest rates that are higher than the traditional lenders. If you can find a cosigner, you may be able to approach a bank or a credit union and avail yourself of these somewhat lower rates. The cosigner should be reliably employed and have a credit rating much better than your own. The financial institution will check. The cosigner must be aware that if you default on the loan for whatever reason, the loan becomes their liability.So, what is the best option?If you cannot find or do not want a cosigner, you are good to go online and find your financing. The best option is to get an approval for a certain amount and then approach car sellers. That way you have the upper hand in negotiations as a cash buyer. You will not have a dealer forcing you to buy a certain car just because he his offering you a loan as well. Getting a low rate bad credit car loan is not impossible, go for it.