Tag Archives: credit

Credit Tips for College Students

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Fall is finally upon us and that means students are getting ready to head back to school for the year. For a college student, having the means to travel has always been important. It’s also a lesson in the importance of a credit score so that you can get a good car loan. Getting yourself a credit history can be very difficult according to The Christian Science Monitor. Lenders tend to be very cautious with new applicants. For those applying the first time, they have some tips to stay ahead of the curve.

The first tip is to start slowly. That means to not go crazy on applying for credit. An influx of too many applications can seem like to a lender that you’re too desperate for credit. It can really have a negative impact on your credit score.

Next is having a co-signer. A parent or a close relative can really give you a leg up on getting yourself a great rate. Be careful with this privilege however, because any that can happen on your end, such as missing payments, can come back and hurt the person who helped. Make sure you know what you’re getting into so that you don’t damage your own and your parent’s credit score.

The next two tips go hand in hand. You’ll want three lines of credit. In order for your file to be considered something other than too thin, you need at least three lines of credit. That being said, variety is also important. The algorithms that create your credit score like to see a difference in the kinds of accounts that you have. What that means is that credit cards are not the one-stop-shop of upping your credit score. Other things, such as a car loan, can also help.

Getting a head start on establishing a credit history goes a long way in life. It doesn’t take long for anyone once they really get started on their own to see how important that number is. Using these tips, you can be prepared and when the time comes to purchase your vehicle, you get the best deal you can get.

Stop by Bayside Chrysler Jeep Dodge to finance a vehicle with us. We’re looking to help people with bad credit get themselves into the car they need. Like us on Facebook and follow us on Twitter for more credit tips.

Image: FreeDigitalPhotos.net

Sub-Prime Loans are Easier to Obtain Now Than Before

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If you’re having a problem with credit but are finding yourself needing to get yourself a new or pre-owned vehicle, there’s some good news.

The Ledger has posted news that financing companies are welcoming customers from across the board and this includes those that have poor credit. The average credit score of people buying cars, either new or used, has come back to where it was before the collapse of 2008. The cherry on top of that is that the experts looking at the numbers don’t see this changing anytime soon. The interest rates that the banks need for lending are extremely low and don’t show signs of going up.

What is also helping is that consumers are finally lowering their debts. This makes sub-prime loans a much less risky with someone no longer getting behind on their payments due to the bills stacking up. The example given is that only 0.57 percent of auto loans were 60 days in delinquency in the first quarter of the year.

This positive news is good not only for the buyer, but also for the industry. With the increase of sub-prime loans, car makers are expecting to sell much more of their product this year, easily beating a 30-year low they experienced in 2009. Analysts are seeing this growth rate in buying is both healthy and sustainable. Consumers are just making much better decisions with their finances.

If you’re a car buyer who is worried about their credit, don’t let that stop you from coming into Bayside Chrysler Jeep Dodge. Stop on in and see what can be done to help put you in the car you need for getting around in life. Don’t forget to like us on Facebook as well, and follow us on Twitter, so you can stay up to date on the news coming out of the industry as it happens.

Image: FreeDigitalPhotos.net