$14000 Bad Credit Used Auto Loan in Elizabeth New Jersey for Honda Civic Hybrid – Christian M
$14000 Bad Credit Used Auto Loan in Elizabeth New Jersey for Honda Civic Hybrid – Christian M — Introduction
It can take you five minutes to apply for a car loan online compared to spending hours applying for a car loan in person. When you apply online for a used auto loan make sure you point out when you want to take possession of your car so that the lenders and brokers know how quickly you need to be approved for the loan.
Mark and Betty are two applicants who both needed to find a car dealer in New York, for the same amount of USD $10,000 per car, and both have a credit score of 550 or lower. Mark is 21 and has never been approved for an auto loan anywhere. He has never been refused for a loan, but does not have any history of applying for a loan and repaying it……continued below —>
$14000 Bad Credit Used Auto Loan in Elizabeth New Jersey for Honda Civic Hybrid – Christian M – App Form
Continued from above… Mark has been employed for over six weeks with his new job and had also worked for another employer for six months. He still lives at home with his mother and father and has low expenses since he does not pay rent or board while he is living at home. His earnings are USD $1,800 salary per month. Mark is trying to buy the car with USD $1000 down. With sales tax and registration fees he is asking to finance USD $9,100.
Betty is 27 and has been in the credit bureau for a total of twelve years. More on Betty in the other installments here at FUSA.
At FUSA we now document car loans in AL, AK, AS, AZ, AR, CA, CO, CT, DE, DC, FM, FL, and GA. We also cover bad credit car loans in GU, HI, ID, IL, IN, IA, KS, KY, LA, ME, MH, MD. If you are borrowing in MA, MI, MN, MS, MO, MT, NE, NV, NH, NJ, NM, NC. Car and truck financing in ND, MP, OH, OK, OR, PW, PA, PR. Really bad credit applicants in RI, SC, SD, TN, TX, UT, VT, VI, VA, WA, WV, WI, WY. This applicant’s comment was, “I don’t mind getting a used car or truck?” – loan application is approved or pending.
Will Mark Qualify for a Bad Credit Used Auto Loan in Elizabeth New Jersey
If Mark had a better credit rating there is no doubt that he would be easily approved for a used auto loan. Mark’s problem appears to be a lack of history rather than past problems with debt. This situation is not uncommon for many young people who are just starting work and have not established a history of borrowing money and repaying these loans on time.
In addition he has not been working very long and this also contributes to a slightly lower credit rating score as well. In Mark’s case he is still living at home and has very low expenses since his parents are not charging him for room and board. He will be easily be able to afford the monthly fees of this used auto loan especially if the loan is spread over a five year term. His monthly payments will be less than $200 per month and could even be as low as $170 a month depending on the interest rate that can be negotiated for him.
This is one of the advantages of working though a broker who has access to many different lenders. They offer various amounts of money for lending at prescribed interest rates, terms and conditions. The brokers make it their business to know who is lending money at the best possible rates and match up lenders with borrowers based on these factors, risk profiles and credit ratings.
Mark should be able to find a used auto loan for $9100 with no problems and at reasonable interest rates. This will be a great approach for Mark to improve his credit rating by paying off the loan as scheduled on time. His next loan will be somewhat easier and even may cost less due to a better credit rating. Obtaining credit cards and managing them appropriately is another great way to demonstrate your credit worthiness!
Since this is his first vehicle and auto loan, some lenders might offer better rates if his parents were to cosign on the loan. This becomes a personal decision on the part of the parents as well as the lender. In the event that Mark cannot meet his obligations, the parents would be expected to meet the monthly payment requirements. If they decided not to follow through and pay the monthly payments, both Marks and his parents credit ratings would be negatively affected. In addition the car could also be repossessed.