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Tips for Buying a Used Vehicle With Bad Credit

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One of the hardest things to do in the auto world is to get a vehicle with bad credit.  The hardest part about it is that no one really ever teaches anyone what to do.  There’s no classes that are required speaking about how to get a used car if you have bad credit.  Luckily, there are websites and resources out there hoping to instruct the consumer in the best possible way to get a vehicle under the worst circumstances.

Cartrade.com has a few steps on how to help those with bad credit still get a used vehicle.

One of the steps is to get the credit score up.  This isn’t a simple magic trick but a longer process.  It is about getting a hold of your own credit score and ridding yourself of the excess baggage that is false reporting.  If you see something on there that doesn’t belong, contact the agencies and inform them it needs to be removed.  Once it is removed, you should see the score increase.

Another step is to make a budget range.  A hard truth in getting a vehicle with bad credit is that you will be needing a larger down payment.  That down payment can have a massive influence on the monthly rate you can get.  So aim for a vehicle that will cost you less and give you more time to improve your credit as you pay if off.

Take a look at their full list and hopefully you’ll find some helpful advice in dealing with shopping for a vehicle even with bad credit.

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.

Used Car Down Payments: How Much Should You Put Down?

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A down payment is a strong thing to have when shopping for a vehicle.  For someone with bad credit, it can have a major influence on the deal and the rate offered to them.  The question is for many, however, how much they should prepare to put down when shopping for a vehicle.

Edmunds states that the conventional wisdom for down payments puts the amount at 20 percent.  The problem is that in their evaluation of car payments made in 2013, the average amount was only 12 percent.  Why is the number so much lower than the estimated amount?

One of the issues that a Jack Gillis with Consumer Federation of America is quoted as saying is due to the increase of the cost of a vehicle while the buyer’s income has stayed flat.  Another reason is that the minimal down payments required are much lower.  This would lead people to be putting lower amounts to the down payment as buyers are attempting to spend as little as possible.

Even with this struggle though, Edmunds recommends that the buyer should concentrate on achieving that 20 percent down.  It might be a lot up front, but that can really pay off further down.  Think of it as more of playing the long game.  A vehicle is a large investment and the sooner you can pay off the vehicle, the better your financial life will be.  A larger down payment helps speed that process along.

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.

Tax Liens: How Unpaid Taxes Will Hurt Your Credit Score

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ID-10034355The deadline for filing 2013 Federal Tax returns is April 15, only a few days away, and while some people have already made plans for how they will spend their tax refund, others have yet to file their return or are still making payments.

Most advice for improving or maintaining a good credit score tends to focus on credit cards, auto loans, and mortgages, but a tax lien can hurt a credit score significantly. The IRS will report non-payment of taxes to the credit bureaus, and tax liens are listed on credit reports under public records.

Tax liens can drop a credit score by 100 points or more depending upon the amount owed and the number of tax liens listed on the report. Someone who hasn’t paid their taxes in several years will have their payments owed listed separately for each year, and it reflects poorly on the consumer if they apply for a loan, a credit card, or another form of credit.

How can you avoid a tax lien? First, work out an installment plan with the IRS and file for an extension if need be. They will look over your finances and determine how much you can afford to pay. Second, stick to your payment plan. Do not miss a payment. If something changes in your financial situation and you think you will miss a payment, contact the IRS immediately. By missing a payment, you are violating the goodwill extended by the IRS in working out a payment plan, and you will have more worries than a damaged credit score.

Do you have poor credit or no credit? Obtaining an auto loan can be tough, but it is achievable. Contact a sales person at Bayside Chrysler Jeep Dodge and find a time to come in so we can work with you to find the proper loan. We’ll get you driving away in the new or pre-owned vehicle best suited for your lifestyle. Be sure to like us on Facebook, follow us on Twitter, and subscribe to us on YouTube to see our monthly specials.

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