A Few Tips To Get Your First Bankruptcy Car Loan

Aug 4 08:29 2010 Shelin Michel Print This Article

Car loans after bankruptcy need not be a mystery or something to be feared. Following a few simple tips and being clear on what you are looking for will help you save time and money. Post bankruptcy loans are an opportunity to rebuild credit and should be given due consideration.

A car has become a necessity for day to day conveyance. Post bankruptcy a car loan is an opportunity to rebuild good credit. There is no waiting period after a successful bankruptcy discharge. A car loan can be applied for the very next day. Car loans may fall under the secured loan category when the car purchased is used as collateral. This reduces the risk to the lender. There are many lenders willing to overlook your past and give you a chance to start afresh. What they look for is whether you are currently in a position to make consistent monthly payments.

A nationwide ready source for any type of loans including auto loans after bankruptcy is Loansstore who offers a few tips to help you get the best rates approved for your car loan.

1. Credit Report Review: Many times credit reports have errors which hurt credit rating. After bankruptcy it is especially necessary to check your accounts. Open accounts which should have been closed need to be pointed out and taken care of before applying for any type of a loan. Sometimes an added page detailing the circumstances of your bankruptcy works in your favor. Bankruptcy car loan lenders may approve better rates than expected under your circumstances.

2. Plan your finances before you buy a car: do not let an immediate need rush you into making a rash decision. Add your fuel and insurance costs to your monthly expenses before deciding on the most affordable monthly installment. The number of months for the loan may give you flexibility to afford a better car thru Guaranteed Auto Loans offered by subprime lenders.

3. Buy thru a loan company:  an online auto finance company has a nationwide network of lenders,Guest Posting auto dealers and offer brand new cars at amazingly low prices. Online lenders also have pre-approved car loan where they send you a check for a specific amount which is as good as cash. You may then look forward to get the best deal from a car dealer.

4. Do not try to downplay your credit rating or bankruptcy: explain the circumstances which led to bankruptcy. Mention the improvements in your finances and how you aim to resolve your credit situation. Private Seller auto loans may be easily approved if you already have a known car seller lined up.

5. Have you ever considered refinancing? Future refinancing with lower interest rates is one indirect but significant way to improve your credit. Being consistent on your bill payments for a year makes you qualify for lower interest rates. three years will give you near excellent scores to get you the best refinance rates.

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Shelin Michel
Shelin Michel

Car financing after bankruptcy need not be a mystery or something to be feared. Following a few simple tips and being clear on what you are looking for will help you save time and money. Post bankruptcy guaranteed car loans are an opportunity to rebuild credit and should be given due consideration.

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