10 Tips for Buying a Car with Bad Credit

Your credit history is a major determinant when it comes to getting approved for a car loan. Buying a car with bad credit is an uphill task; it does not matter if you have a good income or even a stable job history. A history if high debt, late payments, repossession or bankruptcy is a sign to the lender that you are at risk of not making your loan payments and the lender might want to avoid the tedious and expensive process of repossessing back your vehicle.

However, bad credit cannot hinder you from your path of possessing a new set of wheels. However, you will have to somehow differently and be prepared to dig deeper into your pocket. However, you should first be detailed informed to avoid the lender taking advantage of you.

  1. Improve your credit before car shopping

You should check your credit report right from the moment the idea of buying a new car get in your mind, even if it is a year in advance. Your chances of getting approved with absolute terms depend on your credit report. You should first clean your credit before applying for a loan. Cleaning up your credit involves, disputing credit report errors, you pay your due accounts and adding some positive info your credit report.

  1. Pay everything on time

A couple of months before your loan application, you should make sure that you pay everything on time. You should avoid taking the other main credit obligations, new credit cards included. Some of the potential red flags your auto lender will look for include, charge-offs, rent payments, tax liens, bankruptcy, lawsuit judgments, and debt collections.

  1. Check the interest rates

It is highly important that you check the current interest rates. Bankrate.com is a perfect example where you can check for the latest auto loan rates. If you have good credit, you can even qualify for a rate even below average. However, with bad credit, you will have higher interest rates, but you should avoid any loan rate that is more than twice the average.

It is good to note that the loan rate will not only affect the monthly payment but will also affect the price tag of the car you want to purchase too.

  1. Be ready to make a bigger down payment

Your credit history will influence the amount of car loan that you can get and also the high-interest rate will even make the amount even lower. However, a down payment can offset the taxes, interest, and fees and even widen the selection of motor vehicles you can choose from.

  1. Take what you can afford to pay

In most cases, people overestimate what they can afford just so that they can get a better car. Advice is that the amount of money you have as left over each month after paying all the bills is the amount you can afford.  Confirm with your monthly budget amount and see what you can afford to pay and stick with what you can afford to pay.

  1. Get Pre-approved

You will find that you can even shop around more realistically if you have a pre-approved loan amount. Consider talking to your credit union or bank about getting a car loan and find out their pre-approval process. However, if your bank denies you the pre-approval, you can contact your salesman who can help you get in touch with a lender who accepts car buyers with bad credit.

  1. The Extras Do Not Matter

With bad credit, there are possibilities that you will be approved for a less loan amount than you expected. This will mean that you will have to sacrifice for some of the car features you want, such as sunroof, leather seats, and premium speaker system. However, you can add these features,  but this will mean that you will have to make bigger payments and may soon find yourself not able to repay your car loan leading to repossession.

  1. Compare with nonprofit agencies

Before taking a car loan, check to see whether your country has any non-profit agencies that provide vehicles or loans to low-income consumers.

  1. Familiarize yourself with all the paperwork

Because tour credit and money are online, it is important that you understand each single statement on your loan documents, which sometimes can be confusing. Ensure that what your dealer has verbally agreed to matches what is in the paperwork. If you agree to the terms, you can go ahead and sign the loan documents. Some dealers will let you drive off without signing the documents only to call you later to sign the papers with terms that are entirely different from what you had initially agreed.

  1. Beware of Scams

In the modern auto-world, people with bad credits are potential targets of countless scams. You should not fall victim to these frauds no matter how badly you want to ride those new wheels. In most cases, these loans tend to end up very poorly for the car buyer resulting in more bad credit record. You should take your time, get each fact right and make the best financial sound decision.

 

 

Andrew Mat is a full time content writer, and a professional forester. With over 4 years in content writing, his work has been published in various blogs and websites across the internet.

What to Consider Before Purchasing An Hoverboard?

hoverboards

 

The introduction of hoverboards has made movements from one point to the other hassle-free. Also referred to as Segways or self-balancing boards, hoverboards usage in the United Kingdom and the United States has significantly increased in the recent years. The gadgets are available in different sizes and shape to suits the needs of different users. So how do you ensure that you pick the best hoverboard that will guarantee value for your money?

There are several considerations you should consider before settling for the best hoverboard. Below are key factors you should know before you dive in into the hoverboard world.

Beware of where you purchase from

Most of the third party sellers such as eBay, Amazon have pulled most of the hoverboard models from the sites due to safety concerns. Now with the sudden stoppage in selling, a lot of returned products are still available in the market today. You will notice many websites are offering clearance sale of hoverboard with incredibly smashed products. However, it is good to be aware of these outdated and cheap products; they might be equipped with cheap batteries that are not provided in the warranty.

Also Read: Can I Buy A Car with Bad Credit Score?

Check for Quality and Performance

If you are considering of making your hoverboard purchase online, it is hard to know the year when the product was manufactured. However, there is a difference between the performance and the quality of the hoverboards sold in the market in 2015 and those made in the recent months. To avoid the incidences of fires, hoverboards made recently have their control system and batteries significantly improved to ensure that they meet the UL standard. If you want to know whether an hoverboard was manufactured after 2015, then only check whether the gadget can be controlled using Smartphone Apps.

The Size

Hoverboards come in three wheel sizes, which are 10 inches, 8 inches, and 6.5 inches. If you want an hoverboard that you can easily carry around when traveling, it is advised that you opt for the smaller wheel since it is small in size and weighs less. Unfortunately, the smaller wheeled hoverboards come at a cost as well as they are limited to areas with smooth, wide and flat surfaces.

On the other hand, the 10-inch wheeled hoverboard will offer you a smooth ride in different terrains. If you want to perform cool hoverboard moves and tricks, then it is advised that you go for the small (6.5 inch) wheeled hoverboard. However, if the hoverboard is to be used as your main transportation tool, then the 10 inch wheeled one should be a good choice for you.

Charging Time

The charging time is another crucial factor you should consider before settling for any hoverboard. How long will the hoverboard charge? Ask yourself this question before making that decision. The battery is the vital part of the hoverboard. It is always good to opt for that which does not take too long to charge, and that which provides a long battery life.

Speed

Hoverboards come with different varying speeds that range as low as 2 to 10mph. However, there are also other models that offer higher speeds. It is also good to note that the speed factor highly influences the price of the hoverboard, and therefore you should be ready with a good budget if you opt for ones which provide higher speeds.

Andrew Mat is a full time content writer, and a professional forester. With over 4 years in content writing, his work has been published in various blogs and websites across the internet.