When you live in Nashville TN, you need a car. There are so many things to do in Nashville that you need to be able to get around quickly in order to see everything. If you need a car and your credit is bad, you are going to have some challenges getting a car loan. Read on to learn how to get the perfect car loan even if your credit is bad.
The best place to start is with your credit report. You want to get a copy of your report and go over it to see what your score truly is and if there are any items you can fix that will improve your score. Taking care of any errors on your credit report and paying off any collections could raise your score considerably.
You don’t have to go to a bad credit car dealer either. In fact, you probably want to stay away from this type of dealer as they are going to offer loans with high rates and try to add in other sorts of things to drive the cost up even more. Most traditional dealerships work with all kinds of lenders and they work with buyers who have all levels of credit.
Another place to get a car loan is through your bank or a credit union. Since your bank is already familiar with your spending habits, they might be more lenient when it comes to the loan. Credit unions have flexible lending requirements and they also have lower interest rates.
Getting pre-approved for a loan is also a good idea because this way you know exactly what you qualify for. You won’t have to waste time looking at cars that you can’t afford. If you can make larger payments, consider a three year loan instead of a five year loan. Your payments will be higher, but the interest rate will be lower and you will get the car paid off faster.
If you are really having trouble getting a Nashville TN car loan, you can always consider a co-signer. Find someone with good credit who is willing to co-sign your loan and you won’t have any problems with getting approved. If you do this, you have to make sure you pay the loan payments on time or you could affect the credit of the person who co-signed the loan.