With a car loan with bad credit, we will be able to assume the great cost that it has with a better face since we will pay less interest than if we finance it directly at the dealership.
Who gives car loans with bad credit?
Dealing with the purchase of a vehicle can cause certain headaches, especially when choosing the type of car; family, sports. And more important will be to choose between the different financing offers that are within our reach. The easiest is possibly to go directly to the dealers, who will implement very attractive conditions to attract us as customers.
We will also have the option of conventional banking entities, whose main advantage is that their car loan offer usually has an equivalent annual rate below that applied by the financial institution of the dealer we go to.
Another alternative will be private equity companies, whose conditions, characteristics and advantages will depend on the lender we go to. There will be a wide offer here, so we will have to find the car loan with bad credit offer that best suits our needs.
Choose your car loan
Fortunately for us, there are several companies that design their offers specifically for the purchase of a vehicle. In fact, some end up using a different interest rate depending on the origin of the car we want; whether it is new or used.
But we must not only point our focus in the direction of the APR that they offer us but also to other essential characteristics such as the return times. Since a cheap car loan is of little value if the repayment periods are not viable.
P2P loans as an alternative
There is one last option that is poorly supported for this type of lawsuit: P2P loans, with which we will not have to step on a bank. These loans are 100% private and have been uncovered as a novel method. They can be useful to us if the rest of the financing methods hinder us for any reason. It is another model of car loan, although possibly somewhat more complex than private entities.
P2P loans are applied for and contracted through an online platform where people who need financing come together with investors willing to lend them money, in order to obtain a certain return. To send our credit application, all we have to do is provide the page with our personal information, comply with the requirements and send all the necessary documentation.