Is Financing a Car with No Credit Possible?

If you have yet to establish credit, you may be wondering if financing a car with no credit is possible. Is financing a car with bad credit even an option? Yes! Bad credit car finance options do exist. While financing a car with no credit or financing a car with bad credit may be a bit more complicated, the team at Basil Ford is here to help. We have created this guide to go over no credit car loans and financing a car with bad credit. We want to help you find a dependable and affordable vehicle that you can rely on for many years to come. 

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Tips for Financing a Car with Bad or No Credit

If you are trying to finance a car with bad or no credit, remember that your interest rates will likely be higher than if you were trying to finance with good credit. Because of this, you will need to leave a little wiggle room in your budget. The tips below can also be of assistance to ensure you are getting the best deal possible.

Don't Assume You Won't Be Approved 

Even if your credit score is less than ideal, that doesn't mean you don't have options. Don't hesitate to ask questions and see if there are other options that would be more beneficial to you. 

Try to Boost Your Credit Score

If you have a low credit score, there are ways to boost your score before you apply for automotive financing. Work out a payment plan and start paying off any outstanding debts. It can also be beneficial to use your credit card on small purchases and pay off the balance immediately. 

Properly Apply for Loans 

Applying for credit can actually have a negative impact on your credit score. To limit the damage, be sure to complete all loan applications within a 14-day period. 

Evaluate All of Your Offers

Many times, the first offer you receive is not the only offer you will get, so you do not have to accept it if it does not work for you. Many dealerships go through multiple lenders, so it is worth trying for a better offer. 

Budget for Higher Costs

Remember that your interest rate will likely be higher if you have bad credit or have not yet established credit. A larger down payment may also be necessary. This should be factored into your budget.

Applying for an Auto Loan is Stress-Free at Basil Ford

Basil Ford makes it easy for drivers in Buffalo and Cheektowaga to apply for auto financing, even with no credit or bad credit. Contact us today to learn more about your options.