Shopping For A Car Loan When You Have Bad Credit
Shopping for a car can be stressful, the situation is worse when you have bad credit. The interest rate that you will end up paying is based on your credit score; the lower your score, the higher the interest rate. There is good news however, it is not impossible to get a San Antonio TX used cars with bad credit, there are options available.
What is your credit score based on?
Your credit score is based upon your credit history this includes your credit cards, your mortgage, etc. The score uses your credit and your payment history; it takes into account late payments, how frequently you use credit and how often you open new credit lines.
The chances of two people having an identical credit history is remote, therefore the scores will be different and different for several reasons. For example, a person that does not have a long credit history and misses numerous payments will have a different score than a person with a long credit history and an equal number of late payments.
How your credit score affects a car loan?
Anyone with a credit score of 740 plus will get the best possible interest rate loan, anyone with a credit score less than 580 will get the worst possible interest rate loan. Lenders are wary; they want to feel comfortable that they will get their money in full and on time. When you buy San Antonio TX used cars with bad credit you are considered high risk, the result is higher interest rates.
Don’t be afraid of shopping around; don’t make the mistake of thinking that just because your credit is bad that you will not get favorable terms. The way you look at bad credit and the way a lender looks at are often very different.
If you are looking for San Antonio used cars with bad credit you are invited to visit website he KEY is the premier buy here pay here used car dealer in the area, let them put you back on the road in no time at all.
