Getting a car loan is possible for just about anyone. Sure, it may seem easier for someone with a perfect credit history and ample stash of cash to be able to get a car loan, but even people that have had bankruptcies can get car loans if they are patient and approach the right lenders. If you are looking for a car loan, but are concerned about your past bankruptcy, take a look at these tips and facts that may help you get a car loan -- even with less than perfect credit.
Bankruptcy is a legal declaration that you are not able to pay your financial obligations and, often, no assets. There are several different types of bankruptcies that you can declare. Each bankruptcy category work slightly differently. For example, depending on the type of bankruptcy you declare, you may have to sell your assets, such as your home or car, to help cover the costs of the debts that you still owe. You may also have to pay lenders a portion of your paycheck for many years to come. Bankruptcy, for many people, is a last-ditch effort to put an end to overwhelming debt.
A bankruptcy declaration is a huge red flag on your credit history. Basically, a bankruptcy indicates to potential lenders that you have taken out loans in the past, but been unable to pay them off. Lenders prefer to see a clean credit history with a track record of being able to pay off the money that they lend to you in a timely fashion so that they do not lose money during the lending process.
A bankruptcy car loan may require a few extra steps, but your lender should be able to walk you through the process easily. For example, you may have to prove that you have an income. In addition to your own income, the lender may wish for you to have a co-signer, who can be a fall-back in case you are unable to repay the loan for any reason. Therefore, you not only have to ensure that you have sound financial footing, but you will also benefit by having a co-signer when you approach a lender.
Contact us today for more information about how you can get a bankruptcy car loan. We'll help you get back on your feet, in a car, and building your credit score in no time!
