Buying a Car after Bankruptcy: Misconceptions vs. Reality

Many people go through financial setback during the course of their life. While some may suffer from a bad credit score, others become a victim to bankruptcy. Usually, a person faces either chapter a 7 bankruptcy or a chapter 13 bankruptcy. A chapter 13 bankruptcy is for debtors who can repay a certain portion of their debt with the help of a repayment plan. On the other hand, a Chapter 7 bankruptcy is useful for debtors who possess little or no disposable income and wish to get rid of their excess unsecured debts.

Many people who file for bankruptcy think it is impossible to obtain additional financial assistance. Misconceptions cloud their thinking and it sways them from the real scenario. However, with the help of certain guidelines and the right mindset, you can obtain an auto loan for buying a car

Buying a Car and Bankruptcy: Common Misconceptions to avoid

1) Misconception: I will not be eligible for an auto loan after bankruptcy. 

Reality: Bankruptcy may be a temporary halt but it is not the end of your financial journey. The common misconception is that a person suffering from bankruptcy will not get approval for any loan. However, the reality is different. A bad credit auto loan is the best option available to individuals with bankruptcy. The probability of obtaining approval for bad credit auto loan increases as the loan is designed for individuals with credit issues. Thus, put your efforts in researching for lenders who provide bad credit auto loans and getting your dream car will not seem like a distant dream.

2) Misconception: Bankruptcy ruined my credit score. Improving it is a challenge.

Reality: A credit score is made up of numerous factors such as the types of credit, amount of your debt, credit history and payment history. The situation of bankruptcy helps you to eliminate most of the elements that create a negative impact on your credit report. Additionally, the debt-to-income ratio of people after bankruptcy is better than the one prior to bankruptcy. Therefore, obtaining an auto loan is a chance to improve your credit score provided you make the payments on time. 

3) Misconception: My purchase options are limited to used cars. 

 

Reality: While it is advisable to be calculative in making future financial decisions, the options of purchasing the types of cars are not limited. A person who recently suffered bankruptcy is open to purchasing new cars as well as old cars. The best alternative to a used car is a discontinued car model. Purchasing a discontinued car model helps you to obtain a new car for a budget-friendly amount. Also, the car dealers are eager to sell the discontinued car model to free their shelf space. Therefore, a discontinued car model will help you stay in your budget and allow you to get your hands on a new car. 

Today, bankruptcy does not carry the negative stigma that it carried two or three years ago. Many lenders are aware that bankruptcy occurs due to business failure, decrease in income, loss of a spouse or any other unexpected crisis. Yet, misconceptions occupy the minds of people and force them to avoid applying for an auto loan. However, with a little market knowledge, enough courage and the right mindset, you can get one step closer to the car of your dreams. 

Applying for an auto loan after bankruptcy is not as difficult as you think! Apply with CarDestination.com and the guaranteed auto financing expert will find you an affordable loan in no time. Get in touch with the company today to bring your favorite car home. Apply for subprime auto financing today.

Dealer: A Friend indeed when you need Auto Financing!

Dealership: A One-Stop Solution for buying Car

A dealer is a link between auto manufacturers and car buyers. He obtains franchise from the auto manufacturer and sells new cars and used cars with the help of a sales team. A dealer possesses adequate knowledge of different car models and provides assistance to the car buyers. In order to increase the sale, he provides auto financing as well. He also promises repair and maintenance services to attract more buyers.

Select a Car at First Glance with Easy Auto Financing! 

With all the selling and negotiation skills on hand, the dealer goes one step ahead to raise the sale. In today’s world of tight budget, it is difficult to buy a car with cash. But with auto financing easily available at the dealership, you can think of buying a higher model of the car. You can sign the pre-requisite documents and obtain financing with the help of a dealer. It means you will be able to select a car without any financial worry and the dealer will make an easy sale. 

Instead of having to go to the bank, the dealer acts as a friend and arranges auto financing for you. Many dealers provide financing to buyers with bad credit score or zero credit history. A BHPH dealer proves to be helpful for those people who are unable to meet the stringent credit standards of traditional banks. However, the interest rates may be high owing to bad credit history. 

Jump for joy while you enjoy Easy Auto Financing

When something is available easily, don’t fall for it! It is because an easy option isn’t always the better choice. When you want to obtain auto financing from a dealer, you have to play smart. Here’s how you can do it:

>>Never pay MSRP and work hard to negotiate a good price for the car.
>>Auto financing from a dealer may be a wrong decision if the interest rates are very high. Ask him to lower the rate.
>>If you have a bad credit score, lower the loan amount with the help of a down payment.
>>A cosigner can help you to improve your credit worthiness.
>>Avoid dealer add-ons to keep the loan amount in check. 

Walk into a dealership lot with a well-thought plan for financing the car. A dealer offers auto financing to achieve sales target and boost up his sale. It gives him a strong handle to provide convenience to the car buyer along with an increased profit margin. And as a car buyer, you are able to buy the desired car even with a bad credit score. So don’t consider a dealer as a devil in disguise. Step into the dealership lot and buy your dream car with a touch of convenience! 

When you want to buy a car and obtain a quick auto loan, CarDestination.com is the perfect expert for you. Work with the bad credit auto financing company and get ready for instant approval in no time. The company is experienced in managing no down payment car financing as well. Apply now to buy a car!

Positive Financial Habits will get you an Auto Loan even with a Poor Credit Score

Do you have a Poor Credit Score?

Reasons such as the innocence of youth, a few late payments on bills, loss of employment or a maxed-out credit card can lead a good person to a poor credit score. It doesn’t mean you cannot buy a new car. But, it means that you need to put in extra effort from your end to avail an auto loan with a poor credit score. 

Lenders give a Hard Time to Borrowers with a Poor Credit Score

Poor credit borrowers suffer because the lenders charge a high rate of interest and offer larger monthly payments in order to balance the risk. If your credit score is not good, the lender may deny you the auto loan. 

Developing Positive Financial Habits can be liberating

When you have a poor credit score, getting approval on an auto loan can be a real problem. So it is important to be prepared. It is wise to educate yourself and do your homework. By educating yourself, you will improve your credit score and also develop positive financial habits. 

Here the question arises: ‘Can you still buy a car?’ The answer is ‘YES’. When you convert your negative habits into positive ones, it is easy to improve your credit score and thereby increase the chances of getting easy approval on an auto loan. 

Take Control of your Negative Habits. Take Control of Your Credit Score

1. Late payments have a negative effect on your credit score. Set up automatic payment option to ascertain timely payments. 

2. An auto loan is secured with collateral. It means the lender can repossess your car if you miss the payments. 

3. When you spend more money than you earn, it will affect your credit score. If you continue the practice, you will be bankrupt in the near future. 

Positive Financial Habits can get you Easy Approval on An Auto Loan

• By using an auto loan calculator, estimate the monthly payments beforehand. It is important to figure out how much you can pay for a car. 
• Don’t assume that you have a poor credit score. Obtain your credit report and check the credit score.
• Set a budget first. A budget should lead the planning of car buying process, especially when it involves high monthly payments.
• Don’t go alone. It is better to take your friend along with you. It will help you in understanding the critical loan terms easily.
• Shop for a shorter loan term. Don’t get distracted by promises of smaller monthly payments spread over a longer period of time because it will definitely harm your financial situation.
• Stick to your price range. When you have already made your budget, paying a little extra may cost you a lot in the end.
• Educate yourself. You should read all the loan terms before signing the dotted line. Ask questions, if needed.
• Always keep a copy of your auto loan contract with you. It should contain all the signatures and the details regarding the loan.
• Try to negotiate. As you have a poor credit score, you won’t be able to negotiate the terms of the auto loan, but you can always negotiate the purchase price of the car.
• Develop positive financial habits. You can do so by making regular payments towards the auto loan.
  

A poor credit score doesn’t mean that the lender will deprive you of an auto loan. It is possible to get an auto loan with poor credit score when you develop positive financial habits. Remember your positive financial habits can help you build your credit score if you pay the full amount on time, every time!

Pennsylvania Car Purchasing Guide: 3 Best Cars Suited For Senior Drivers

The purchase of a new car can be one of the most rewarding experiences one can encounter. Either out of meticulous planning or necessity, every car buyer spends a great a deal of time considering their options while purchasing a new car. However, sometimes finding the right car that fits your requirements can become a tedious task and in Pennsylvania, it is an occasional issue. 

Being the sixth most populous state in the United States, Pennsylvania has a dense population of various age groups scattered across its area. Amongst the different age groups of Pennsylvania, senior drivers find it laborious to search for a new car that suits their specific needs such as appropriate safety equipment and comfort. Therefore, while purchasing a car, extensive research of your options becomes an essential prerequisite. 

So, which are the best cars for senior drivers?

• Ford Fusion Hybrid

Before a few years, the prime reason for buying a hybrid car was its fuel economy. However, the Ford Fusion Hybrid goes one step ahead than providing just fuel economy. With the inclusion of mature technology, the car appeals to the senior drivers as it contains standard equipment. Many Pennsylvanian seniors face health concerns such as lack of muscle strength due to old age. The Ford Fusion Hybrid contains the features of a tilt and telescoping steering wheel which ensures smooth driving. Other senior-friendly features of Ford Fusion Hybrid include automatic climate control, comfortable seat adjustments and Bluetooth control.

• Hyundai Azera

In terms of per-capita income, Pennsylvania ranks 26th amongst the fifty states of United States. Being a well-to-do state, many a times, senior drivers indulge themselves in buying luxury cars and Hyundai Azera is no exception to the fact. Leather seating interiors, glove-box cooler and a total of nine air bags are some of the amenities that impart comfort during driving for senior drivers. Another striking feature of Hyundai Azera is the heated outboard mirror that assists senior drivers with blurry vision in getting a clear rear-view mirror image during cold weathers.

• Chevrolet Impala 2LT

Be it a comfortable interior room, fuel economy or simply a stylish ride, the Chevrolet Impala 2LT checks all the right boxes. Due to old age, many Pennsylvanian seniors face diminishing eye sight. The Chevrolet Impala 2LT comes with an auto-dimming rear view mirror that prevents excess light and fine tunes the glass tint on the rear view mirror, preventing any blind spots during driving. Additionally, the car also includes features such as 8-inch color touch screen and parking assistance. 

While hunting for a senior-friendly car can be a strenuous job, you can narrow down your choices. A Ford Fusion Hybrid, Hyundai Azera and Chevrolet Impala 2LT are amongst the best car options in Pennsylvania for you to consider. 

A guaranteed auto loan in Pennsylvania can make things simpler for you. Do not worry if you are terrified of bad credit. The loan expert will ensure quick bad credit auto loans Pittsburgh and help you buy a car of your choice.