Author Archives: baysideadmin

Getting an Auto Loan While on Unemployment

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If there is one thing I don’t need to remind people of, it is that the economy is still not the best.  Yes, we are in recovery, but it is a slow one.  Because of that, many people are still struggling to find employment.  Those same people also still need vehicles.  So, is it possible to get an auto loan while on unemployment?

There’s really no easy answer to that broad question I just so happened to ask.  An easy answer is yes, you can get an auto loan with the only source of income being unemployment.  However, as with all things, some nuance is needed to be completely honest.

Unemployment is not the kiss of death to someone’s credit.  It is very possible to be receiving benefits while still maintaining a high credit score.  With a high credit score factored into the credit check, it does raise the possibility of being accepted for an auto loan.

The best way to ensure you can get an auto loan, regardless of being on benefits, is being able to show the ability to pay back a loan.  That’s really what dealerships are looking for, knowledge that you’re good for it.  So ask yourself a question, are you only receiving income from unemployment benefits?  How about social security or child support?  Any alternative source of income can help your chances in proving that you’re capable of maintaining monthly payments.

It is more than possible to get an auto loan while on unemployment; it just means that you need to be acutely aware of your finances.  Granted anyone looking to apply for an auto loan should be aware of these things, it just becomes that much more of a necessity to increase your chance of getting an auto loan.

Have any more questions about the subject?  Contact a sales rep at Bayside Chrysler Jeep Dodge and they will work you through the process to acquiring an auto loan for the right new or used car.  Be sure to like us on Facebook and to follow us on Twitter for more tips and special monthly offers.

Image courtesy of Gualberto107 @ FreeDigitalPhotos.net

Auto Loans Are Easier Than Ever to Get!

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The auto loan market has turned around in just a few years.  The economy may be sluggishly making the crawl towards improvement, people with challenged credit are finding it easier and easier to come into a dealership and drive out in a car.

A few years ago, at the peak of the recession, this was nigh impossible to do.  As many dealerships will attest to, if you had bad credit the typical thought process was just don’t even bother coming in.  That attitude has changed.

Thanks to the Federal Reserve keeping interest rates down to near zero, the subprime loan market is thriving again.

The market has since been surging with people in the subprime credit category. These loans account for more than 27 percent of auto loans according to Experian.

That might seem like a red flag seeing as how all of us remember that it was this same situation with mortgages that lead to the collapse not that long ago, but analysts are quick to remind these same people that auto loans and cars work much differently than homes.  Cars are much easier to appraise and put value on.  Plus, vehicles are essential for people’s lives with work commutes, so a paying off a car typically takes priority.

Auto loan lending for subprime customers is easier to do than ever.  If you were turned down for a loan a few years ago, now is the time to take advantage of the improved market.  Contact a representative at Bayside Chrysler Jeep Dodge and find out how we can help you find that right new or used car for your lifestyle.

Auto Loan Balances on the Rise, Delinquency on the Fall, Now is the Perfect Time for an Auto Loan

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Good news in the financial world, auto loan balances are high and delinquencies are down.

That might seem like an odd thing to spell out good times for the finance world but it makes sense when you break it down. Firstly, having the outstanding balances in regards to auto loans nation wide, that’s good because it shows that people are getting loans for vehicles. Experian is reporting that the balances are at an all time high even, the highest they’ve been at in seven years.

On the delinquency side of the auto loan equation, those are down. The rate on people behind on loans for 30 days has dropped off from 2.67 percent in the third quarter of 2012 to 2.58 percent in the same quarter of this year. It might not seem like much, but keep a perspective on how bad things were for a while and you’ll see why so many are invigorated to see this trend continue.

The reason these two side by side spell out such good news for the industry as a whole means that institutions will be better about lending. “The availability of credit, combined with consumers’ continued strong performance repaying their loans, has a positive spiral effect,” Melinda Zabritski, senior director of Automotive Lending at Experian, said. “It allows lenders to slowly but surely take on additional risk while providing more access to loans and paving the way for higher auto sales.”

Now is the best time to consider coming in for an auto loan. Bad credit, no credit, no problem. We here at Bayside Chrysler Jeep Dodge will work with you to find the suitable financing for the right new or used vehicle. Give us a chance and see why our slogan is ‘We Love to Say Yes, You’re Approved!”