Do anybody know what is the interstat rate on a used cars when you have no credit or bad credit? The loan is $10,200
Aug
10
Do anybody know what is the interstat rate on a used cars when you have no credit or bad credit? The loan is?
3
comments
Hard questions specially with this economical down turn. The chances are you might be able to get a loan for a car, cause they car companies are really pushing to sell, but it could be very high. It might be better to fix your credit than try to buy a car. I know of someone that bought a new car for 25% and said she was crazy. But in her case there might be a chance to refinance, but you do not want to take that chance. Only thing you can do is maybe sit down and trey to buy a car and see what they say, and if it is around 25% say no way walk, out and try getting your credit back inline, like being responsible on a credit card etc, or join a Federal Credit Union and try to get a loan from them.
No credit? Bad credit? No loan! That’s the truth about today’s market. There is no way anyone will approve you if you are below 600 FICO score, have a bankruptcy, a repo, state of federal lien, or behind on child support payments. Not even subprime lenders are interested.
If you have no credit, you haven’t established a payment history yet. Lenders have no way of knowing if you’ll make all your payments on time.So you’re a high risk. And it’s even worse if you have bad credit because you’ve shown a repetition of not living up to your responsibilities.
More people have lost their jobs than at any other time in our history. Repos are at an all time high, the likes we’ve never seen before. Many of those repos are from subprime lenders who used to gamble on risky people for a huge pay-off in high APR They’re not doing that anymore. A lot of subprime lenders have gone under. Those remaining in business want at least a 600 FICO score and other criteria they never asked for in the past.
A predatory lender is the only one who may fund your loan. They’ll want at least 30% down and charge you between 33% and 99% APR. By the time you pay off the car, it’ll be dead and buried and you’ll end up paying about 400% more than the original selling price. Do you really want to do that?
Everyone with bad or no credit must wake up and face the facts … there is no way you’ll get approved by a prime or a subprime lender. Not while we’re in a severe recession. And most economists agree that this will last into 2010.
A wise man once said the cheapest car you will ever have is th one you have right now! FIX YOUR CREDIT FIRST! Save your money and have a good down payment, or better yet buy what you can afford to pay cash for. I’m 52 yrs. old and have never made a car payment in my life! Granted I drove some old clunkers but they were all mine and I saved all that interest money rather than give it to someone else. Unless you car is totaled fix it up (so what if it’s not worth anything) and keep driving it until you can PAY CASH!