Tag Archives: credit score

How Purchasing a New Car Can Improve Credit

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Looking to get a vehicle for yourself but are also suffering from having bad credit at the same time?  What you might not know is that having credit issues and purchasing that very car can actually go a long way in helping you improve your score.

Auto Credit Express breaks down the how this can help.  Lenders are looking to get people through the dealership doors even if they have low FICO scores.  Just because your credit is bad now doesn’t mean that it was in the past.  If they can see that changes in your score occurred due to major life events, such as losing your job or experiencing a medical problem, then the odds are more in your favor of getting a good loan.

Before you do head into the dealership, however, there are things to keep in mind.  First, that loan you’re getting after a dip in the FICO score will be at a higher rate than many consumers are used to.  You’ll also want to make sure to make each payment on time, as well as other bills you have, so that you can qualify for a better rate the next time around.  If you miss a payment on time, then it will take your credit score even lower down.

The point of purchasing a car in this case is to improve your credit while getting the vehicle you need.  The best tips to do this are to make sure that you look for an inexpensive car, small or midsized.  See if you can choose a loan term of 48 months or less.  Make sure you check on the history of the vehicle.  By following these steps, you place your self in a position to save money by trading out in 18 to 30 months for a better deal.  Also, knowing that history makes sure you avoid thousands of dollars in repair bills.

Come on in to Bayside Chrysler Jeep Dodge and start the process of improving your credit while driving away in that car you need.  We love to say yes at the dealership.  Be sure to like our Facebook page and follow us on Twitter for more tips and deals.

Beat Bad Credit By Planning Ahead

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Are you in the market for a new or used vehicle?  Do you have bad credit?  Don’t think you’re that alone.  You would be surprised by just how many individuals out there are looking for a new or used car and also have bad credit.  Just because you have bad credit doesn’t mean that it’s all over for you however, a mindset that seemingly too many have.  Here is some advice on how to handle car shopping when you have bad credit.

Rule number one is always understand your credit.  This means knowing your credit score.  Before shopping, no matter what you think your credit score is, know it.  Do you think you have bad credit or do you know you have bad credit.  It is important to understand this difference and to know which one you really have.  Knowing that makes all the difference in how you begin to plan the shopping process.

An advantage of knowing your credit score is going in shopping prepared.  You can evaluate your finances and see how much you’re able to afford for a down payment to see if you can increase your chances of getting an auto loan approved.  That down payment can also go a long away in helping you get a better interest rate as well.  It may be a larger sum of money up front, but that can help in the long term much more than taking a longer rate.

If you need help with financing, contact us at Bayside Chrysler Jeep Dodge.  We’ll work with you to find the right possible loan to suit your situation.  We love to say yes, you’re approved!  Like us on Facebook and follow us on Twitter to see our monthly news and special offers.

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The Importance Of Your Credit Score in Getting an Auto Loan

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You have bad credit and you need a car.  You would be surprised at how common this situation is.  So what is it you need to do in order to get that auto loan?

First off is knowing your credit score.  This is the important number that will help you truly understand what you will be up against.  It’ll also answer the question if you truly have bad credit.  For all you know, the idea of you having bad credit may just be a misbelief.  Your number may not be as low as you think.  This is why it is important to know your credit score.

Once you have that score, know where you fall on the credit risk scale.  Edmunds.com shows that if your score is between 601 and 660, that puts you in the Nonprime category.  If your score is between 501 and 600, that is subprime and anything below 500 is deep subprime.  Again, you would be surprised by how many people borrow at the subprime and deep subprime level.  Edmunds estimates that this is 32 percent of used car loans and 10 percent of new-car loans.

Now that you know where you are located in your credit score, now is the time to plan.  Put together your budget and know what you can afford monthly.  The lower on the subprime scale you find yourself, the more you’re likely to pay over a longer period.  If that is the case, then it is also time to start thinking about a downpayment.  That can help you get a loan when you’re in the subprime category.

At Bayside Chrysler Jeep Dodge, we want to help you make your dream of owning a great car a reality, and we will work with you to find the right car to fit your needs. You can get pre-approval, check out our monthly specials, and shop our online inventory by make, model, and year.  You can also get our latest deals and news by following Bayside on Twitter and Facebook and subscribing to our YouTube channel!