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Car Loan and Credit

Learn how your credit will affect your next car loan
Before you buy your next car, you need to understand how your credit will affect the interest rate of the car loan. Your credit score - which represents how much of a credit risk you are - will directly impact the amount that the lenders charge you in interest. With a higher credit score, you are a lower risk, so lenders charge you less interest. With a lower credit score, lenders consider you a higher credit risk, so they charge you a higher interest rate.

It is important to understand that just because you have bad credit does not mean you will not qualify for a car loan. As a matter of fact, here at www.carloangenie.com we specialize in connecting you with a car loan even if you have bad credit or average credit.


How Much Will You Pay On Your Next Car Loan

www.carloangenie.com specializes in connecting consumers just like you with a new car loan – regardless of your credit score. Do you have bad credit? We can connect you with a lender that can provide a bad credit car loan. We have a nationwide network of lenders at your disposal, and because of that you can rest assured that your interest rate will be low.

What interest rate can you expect to pay? It depends on your credit score. Below are general interest rates based on credit scores:

  • 580 (and below) to 620 = 17%
  • 620 - 650 = 13%
  • 650 - 675 = 10%
  • 675 - 700 = 7%
  • 700+ = 5% or lower

Some car loan lender also prefer that you have had credit for about 5 years, and have borrowed at least $12,000 in the past, and made regular monthly payments for two years, or more.

Some car loan lenders have a bit of flexibility in the interest rate they can charge, and just about every car loan dealer has more than one lender that they work with. Remember to ask if they can lower the rate, or try running your application through another car loan lender to see if there is another rate available for you. Some salesmen may not truly know the finance options, so you should always ask to speak with the finance manager who is the person that develops the relationship with the car loan lenders.

Remember that by applying and getting a bad credit car loan, you will pay a higher interest rate on your car loan because of the greater liability to provide you credit. Just make sure that you understand exactly what the monthly payments will be, and make sure you can afford those payments. That way, at the end of your loan, you will have established and improved your credit score!

Here at www.carloangenie.com, we can help you get that new car you have been wanting, regardless of your credit history.

Click here to get your car loan now!



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