How to ensure Car Buying Success with Bad Credit History as your Partner?

According to a new report by Experian, a huge number of US consumers are buying cars. The phenomenon is a result of easier loan access and less-stringent approval criteria. The report revealed that lenders and banks financed 85 percent of the total new car purchases and 53.8 percent of used cars in the second quarter. This is higher by 0.5 percent and 0.9 percent, respectively, from the last year.

Everyone is running to the dealership lot for buying a car but you should not do the same thing if you have bad credit score. For ensuring success at the time of buying a car, a bad credit car buyer has to consider several things like your budget, credit score, down payment, etc. But, there is one more important thing that requires your attention and it is the car you are buying.

New Car or Used Car – That is the Question

Whether your car loan will be affordable or not depends on the car that you buy. So, you have to be extra careful because it has the power to improve or ruin your credit score.

Most bad credit buyers receive higher interest rates in comparison to others. So, if you buy a new automobile, you will end up paying more in terms of interest. Also, it will be costly for you because insurance premium amount is higher for new car in comparison to old cars.

It is safe to buy a used car with bad credit history because its low-cost will ensure an affordable loan amount. If you are careful in choosing a used car, you will have the advantage of obtaining a reliable automobile with less maintenance cost.

Options for buying a Used Car

Once you decided to opt for older cars, you have two sources to choose from:

1. Dealership Lot

If you are worried about ending up with a lemon, you can obtain a CPO (Certified Pre-Owned) car. CPO cars are ideal for car buyers who want to buy a less-costly used car that has undergone safety and performance inspection. It usually carries extended warranty.

Although, you must keep in mind that certified cars are a bit expensive than other alternatives because dealers conduct a thorough inspection of the automobiles.

2. Private Party

You can buy a car from a friend, colleague, neighbor or online seller. All such sales are categorized as private party car sales. Such deals are ideal for those buyers who want to avoid the incessant pressure of the salesman. A private party car purchase also leaves more room for negotiation but you have to ensure the reliability of the car as there is no certification available.

Next comes the Bad Credit Auto Loan for buying a Used Car

After you have made a decision about buying a used car, it is time to apply for a bad credit car loan. Before you go to a bank or seek dealership financing, you must consider the online auto financing companies. These institutions work with a lender network and ensure that your credit application reaches several sub-prime lenders and thus, ensure higher approval chances.

Here are few tips for obtaining quick approval on your online loan request:

>> Apply only with a sub-prime lending company with a secure website

>> Make down payment or trade-in your old car for lowering the loan amount

>> Bring a co-signer as it will increase lender’s faith in your loan application

So, this is how you can become successful in buying a car with bad credit history. Remember this bad credit car loan guide before heading out to make the purchase.

For successful car buying, you need a reliable financing partner like EZ Auto Finance. The online auto financing company is experienced in ensuring low rate used car loan to sub-prime buyers. You can obtain quick approval on bad credit auto loans at low rates. Apply now.

Quick Tips before buying a Perfect Car

Many people dream about buying their favorite car. They have pre-defined notions of their favorite car and don’t consider other alternatives. But, you should not let your heart rule when it comes to deciding the car model. You must consider several things by keeping in mind your present and future needs. Remember that the functionality of the car is more important than its looks. Here are few practical tips that will help you in selecting the perfect car for yourself:

Just A Desire to buy a car is not Important

Buy a car only when you need it. If you work from home, then there is no need of buying a car. You can share your partner’s/parent’s car. Also, it doesn’t make sense to buy a car if you have comfortable public transportation service in your neighborhood.

Remember that a car is a huge financial investment. If you commit to it without considering its actual use, you will face economic problems. So, think through because once you buy a car and obtain the car loan, there is no looking back.

Fuel-Efficiency is Crucial

If you are going to use the car regularly for your office, you must consider its fuel-efficiency. Choose a car that provides at least 25 mpg in city and 30 mpg on highway when you have to travel farther distances regularly.

Don’t forget that fuel-efficient cars are usually smaller with four-cylinder engines. So, if you have set your heart on a huge SUV, think twice about buying it.

You also have the option of buying a hybrid car. Such cars include an internal combustion engine and at least one electric motor. But, you have to undertake cost analysis before choosing a car with hybrid systems. If the extra cost of hybrid cars overshadows the fuel-savings of a gas-powered car, you must avoid it.

Expected Number of Passengers determine the Size

If you don’t have a family, you can buy a two-door coupe or a stylish sports car. But, if you will be carrying passengers with you, you need to consider a large automobile.

a. For a smaller family of four people, mid-sized sedans will work.

b. For a large family, a crossover automobile (cross between car and SUV) is suitable.

c. If you have a very large family or several people car-pooling with you, you require SUV or a minivan with optional third-row sitting.

Remember that you will have to consider the safety aspect when traveling with your family. Also, check for adequate space for installing a child safety seat in your vehicle if you have kids.

Cargo Capacity is a Decisive Factor

For most families, the trunk size of mid-sized sedan is sufficient. But, you will need a bigger car if you have a huge family and need to store groceries and other things in the trunk.

The Environment plays a Major Role

It is important to buy a car according to your environment. If you live in the city, you don’t need a four-wheel drive or an all-wheel drive. But, it becomes mandatory for people living in hilly areas and regions that receive regular snowfall and blizzard.

Leisure Activities influence your Choice

Activities that you do in your free time have an impact on your car choice. If you like boating on weekends or like to go camping, you will need a car with sufficient towing capacity. On the other hand, a person who enjoys going to clubs doesn’t require a huge SUV. He/she needs a small compact car that can be parked effortlessly in the city.

After you consider all these practical tips, you will be able to choose the car that suits you perfectly. Remember that once you buy a car, you will have to use it for a considerable amount of time. So, don’t make an emotional purchase. Buy a car after making a practical decision because it will provide you incredible pleasure and happiness.

Once you choose the perfect car, you need the perfect auto financing program. Apply with EZ Auto Finance for quick approval and low rate car financing process.

All the best! Hope you choose the perfect car.