| Yes, you do qualify for a car loan. It's not a matter of | | | | dealerships use to get loans approved. Typically, if you |
| whether or not you qualify, it's a matter of knowing the | | | | have reasonably good credit, you can easily get |
| type of lender that you should be applying with. | | | | approved with this type of lender. The interest rates |
| Prime Lenders. These car loan companies specialize in | | | | generally are between 7 and 12%. |
| working with applicants that have very high credit | | | | Special Finance. These are lenders that specialize in |
| ratings, such as 700 and above. Typically, to be able to | | | | helping people with poor credit ratings, such as 480 to |
| qualify for a car loan with a prime lender, you need to | | | | the upper 500's. Qualifying is very easy and rather |
| have a near perfect credit rating and have no late | | | | than relying solely on your credit score, these special |
| payments within the last two to three years. These | | | | lenders will take into account other aspects of your |
| lenders are very, very strict about their qualifications, | | | | borrowing history. If you've had a repossession or late |
| yet their interest rates are very, very low. It's common | | | | payments, a simple explanation as to why, is usually |
| that these types of lenders will allow a 5 year old car | | | | acceptable. As most people that have credit ratings |
| to be financed for 5 years at a rate as low as 4.5%. | | | | that fall within this category, generally have little money |
| You must have near perfect credit. | | | | to use as a down payment, there is typically no money |
| Sub-Prime Lenders. These car loan companies | | | | down required to qualify. |
| specialize in working with applicants that have very | | | | Qualifying is easy, it's a simple matter of knowing |
| low credit ratings, such as 600 to 699. These are the | | | | which lender will approve you. |
| most common types of finance companies that car | | | | |