Q:
"Hello, I have found the
vehicle that I wish to
purchase, but am having
trouble securing an
bad
credit auto loan if not purchasing
from a franchise dealership.
The dealer that I wish to
buy from is licensed, but it
is a private dealership. Can
you help?"
A:
The lenders
within our network are
indirect lenders. That is to
say they only provide loans
through their dealer
partners. In your case we
would be limited to the
lenders available to the
independent dealership that
you mentioned.
Q:
"I have a question regarding
a local dealer. I have a car
picked out but I'm not sure
how your loan process works.
If I get approved do I have
to use a specific dealer or
can I go to the one I
already am interested in?"
A:
We work
within a network of indirect
lenders. Your local dealer
would actually be the one
processing your loan. If you
are looking for a lender
that would provide funds for
you to purchase from the
specific dealer you
mentioned you should search
for a direct lender or let
the specific dealer process
your loan. We have not had
success finding a direct
lender that does a decent
job with bad credit
financing nor have we had
luck convincing dealers
outside of our network to
sign up with the indirect
lenders that do a good job
lending to people with
credit problems.
Q:
"I would like to know what
credit reporting agency you
use to pull credit reports.
Also, is there a minimum
beacon score you must have
to qualify for a loan? I do
not want to pull my credit
report if not necessary."
A:
The
authorized dealer in your
area will generate a credit
inquiry to determine which
lender programs you qualify
for. The reporting agency
used varies by location.
Also, the lender that your
application is submitted to
will also generate an
inquiry. Most lenders now
use a service that merges
all three major credit
reports. The authorized
dealer in your area has
access to lenders that
ignore the credit score on
the credit report. If your
score is less than 525
(average), however, your
auto loan request would be
limited to these lenders.
Q:
"Can a person who has filed
for bankruptcy, still get an
auto loan? And if so, how
long must a person wait
after filing chapter 7
before they can get an
auto?"
A:
In some cases
you are eligible for
financing after the initial
meeting of your creditors
(341 meeting, first court
date). In every case you are
eligible immediately after
the bankruptcy is
discharged.
Q:
"A dealer called me to say
that I could be financed
there. Are my choices
limited to one dealer? I
have a bankruptcy discharged
in May and want to
reestablish credit but do
not want more queries on
report."
A:
For quality
control and monitoring we
limit the number of dealers
in each area. We do have
multiple dealers in most
major metro markets. In
either case your loan
request is processed by the
closest dealer. In the past
we listed the dealerships
name, phone number, and
contact person on the site.
Unfortunately we had to
remove them after receiving
numerous complaints from our
special finance managers
within the dealerships that
they were receiving far to
many telemarketing calls
from online marketing
companies.
Q:
"I would like to apply for a
loan for a purchase at a
local non-franchised dealer.
Will this be a problem?"
A:
If you apply
with us we cannot process
you loan though every
car dealer. Our dealer network
is limited to maintain the
quality of our service.
Provide us with the name of
the dealership and we'll let
you know if they are part of
our network. Nationwide,
however, we only have a
handful of independent
dealers within our network.
Q:
"My credit score is 534 with
a voluntary repo. I will
have a co signer with a
cosigner with a score of
550. I am willing to put
money down but need 30 days
to come up with it. I need
to get the vehicle today."
A:
The
information provided is not
enough to determine if you
would qualify for a loan. As
far as the down payment,
differed down payments (30
days) have to be disclosed
on the finance contract to
comply with the Truth in
Lending Act. If it is not it
is considered an attempt to
deceive the lender. Most
lenders do not allow
differed down payments.
Based on the information you
provided I would guess that
you would not qualify for a
zero down payment program.
Q:
"I wanted to know if you do
in home financing and if so
what are the requirements. I
don't have good credit."
A:
We do not
originate loans. Most
lenders that provide
financing for people with
sub-prime credit are
indirect lenders and only
purchase finance contracts
from licensed auto dealers.
There is not a lending
program that offers Direct
Loans to people with high
risk credit that we
recommend.
Q:
"Do you have any no money
down loans that would
require not even tags and
taxes to be given at time of
purchase? My son is 18 and
has no credit and needs a
car but we don't really have
tax or tag money."
A:
There are
no
money down programs. It is
unlikely that your son would
qualify by himself. If he
applies on his own he would
most likely fall into a
First Time Buyer program.
Most FTB programs require at
least 15% of the sale price,
not including taxes. If a
parent with fair credit was
listed as a co-buyer you
should qualify for a zero
down program.
Q:
"Do you finance 100% on a
new vehicle? I don't have
money for a down payment."
A:
There are
zero down payment lending
programs. You may also
qualify for lending programs
that require a down payment
if you are purchasing a new
car with a rebate or you
have a trade in, regardless
of it's condition.
Q:
"We had a
discharged bankruptcy last
August. How to I find
dealerships that help people
with past credit problems. I
know our credit has improved
a lot since last year."
A:
You can apply
online and your application
will be processed by a
dealership in your area that
specializes in
financing
after bankruptcy. If you
would like to apply directly
with the dealership please
email us your zip code and
we will send you the contact
information for the local
dealer.