How to Handle Finance Issues and Still Purchase a Car

By | October 26, 2019

When a new vehicle is necessary, it’s often hard to wait for finances to improve. Most people need a vehicle to get to work and back, so if they don’t have a vehicle that’s running, they’re going to need help quickly. A poor credit score can make it more difficult to get financing, but there are ways to still purchase a vehicle even with poor credit or other financial issues.

Try to Improve Credit Before Shopping for a Vehicle

If possible, it’s a good idea for the buyer to boost their credit score before shopping for a new vehicle. If their vehicle is still running, even if it’s not in the best of shape, increasing their credit score will make it easier when they do need to purchase a new car. Sometimes, though, there isn’t much time to work on increasing the credit score before looking for a vehicle. There is still help available in these cases.

Find the Right Vehicle to Purchase

Finding the right vehicle is crucial. Those who have financial issues like a poor credit score may not be able to afford a new vehicle, but they don’t have to settle for one that barely runs either. Instead, they should shop around for a quality used vehicle. Look into the cost of the vehicle, the age and mileage, and the cost for potential replacement parts if it does have issues in the future.

Find a Lender Who Offers Poor-Credit Financing

The right lender is going to be key for someone with a poor credit score. Most lenders will not provide financing to those who have a low credit score because they’re more of a risk. However, there are lenders that will help those who need it. Shop around for lenders and remember to ask the dealership if they use indirect automobile financing through a company like Consumer Portfolio Services. Companies like this often help borrowers who need financial assistance because of their credit score.

Finding the right vehicle and being able to purchase it with a low credit score is possible, but it may take time to find the right vehicle and the right lender. Be sure to ask about any financing for those with poor credit and find the right vehicle to purchase. After purchasing the vehicle, make all payments on time so your credit score improves.