Posts Tagged ‘drive’

With These Bad Credit Auto Loan Tips, Get Ready To Drive Your Dream Car in Michigan

Nothing in this world has changed our lives like a car. Every other invention has come and gone but none has matched the car revolution. Right from the first model T to the new power packed machines, cars have come a long way. And, which State has witnessed it all? The State of Michigan is where it all started. Ford, GM and Chrysler are all located in the State. Hence, Michiganders’ love for cars is well understood.

Buying a car is a great experience for everyone; it’s phenomenal if you are in the State of Automobiles. Don’t you remember buying a car with your parents? Being in the car hub of America, there used to be the excitement of walking into the lot and seeing several amazing cars. Your family chose the perfect one after a thorough analysis. Back then, things were pretty simple because you didn’t know much about credit history. Now, things look complicated and the fun has turned into uncertainty -uncertainty of choosing that perfect car, uncertainty of getting loans. Even if you got a loan with a poor credit score, there is the uncertainty of getting reasonable interest rates.

But, here’s something to remove all the clouds of doubts and uncertainty. This is an article to help you get an affordable car loan even with an imperfect credit score in Michigan.

Money Comes First, Wherever You Go

Whenever you have to buy something, money comes first. You must know your affordability. For that, prepare a budget. Calculate the surplus that remains after paying all the bills and expenses. If you have a sufficient amount left with you, then making monthly payments will be very easy.

Now, your loan amount depends on your car. A brand new car and pre-owned one have substantial difference in pricing. If you buy a new car, then your loan amount will increase. This decision is good only when you are able to make regular payments. So, think twice before deciding on the car.

Know Your Score

Every lender checks your credit score. But, before he does and wrongly charges you high interest rates, you must check your own score. According to the Federal Law, you have the privilege of getting your free credit report once in a year. is the name of website where you will have to apply for it. Now, this site will only give you the credit report and not the score. For that, you must apply with any of the three bureaus.

Go through your report and search for any errors. In case you find any, report it to the credit bureaus. You must apply for any loan only after the discrepancies are taken care of. Also, ask your current lenders to report your regular monthly payments. This will definitely improve your credit score.

The economy has suffered a lot during recession. Many have not been able to keep up with their payments and as result their credit scores have taken a toll. There are many people tackling bad credit scores, just like you. How do they get loans? Well, the answer is sub-prime lenders.

You must know that your credit score is just one aspect of the approval criteria. There are many other things that the lenders consider before taking a decision. Income, employment details, residence, down payment amount, co-signer and many other factors help lenders in taking a decision.

What Documents Are Considered For Bad Credit Auto Loan?

Income Proof

You must be currently employed. Lenders are fine if you are individual contractor. The only thing that is important for them is your income. Your gross monthly income should be at least $ 1,000.

If you are employed, then you must present a copy of your pay stubs. Most lenders will ask you to send them a copy of last two months.

If you are a self-employed contractor, you will have to submit IT returns of at least three years, although it all depends on the lender.

The following documents will be considered income-proof for self employed

Michigan Tax Forms
1. MI 1040 (Michigan Individual Income Tax Return)

2. MI 1040 ES (Michigan Individual Estimated Tax)
3. Michigan Business Tax

Federal Tax Forms
1. Form 1040 (U.S. Individual Income Tax Return)
2. Schedule C (Profit or Loss from Business)
3. Schedule F (Profit or Loss from Farming)
4. Schedule SE (Self-Employment Tax)

Bank Statements

Bank statements are a proof of your regular financial transactions. Lenders want to be assured of the safety of their money and hence would be interested in your bank accounts.

Residential Proof

If you are living in the same house for at least six months, it means you have been paying your utility bills regularly. Lenders will require a copy of your recent utility bills like phone or electricity.

Tips for Getting Approval


When you have a bad credit score, you must make up for other aspects of the lending criteria. If you get a co-signer on-board, the lender’s risk will be reduced. Lenders generally ask for co-signer so that when you miss a payment, the co-signer can be held responsible.

Anyone can be a co-signer as long as he has a decent credit score.

Down Payment

Down payment is the initial upfront amount that you pay while buying a car. When you make a down payment, you lower your loan amount. This reduces the lender’s risk and thus, approving your loan application won’t be a problem for him.

These two factors play a very crucial rule when it comes to a bad credit car loan. If you can manage them well, getting a loan will be very easy for you. These tips will help you buy your dream car in the Wolverine State.

So with all the information available, don’t wait for anything. Apply with a lending company that offers low rate auto loans in Michigan. is an online auto lending company that offers bad credit car loans Michigan at reasonable rates. We have a large network of sub-prime lenders in Michigan. Take advantage of our robust coverage and get ready to drive your car in style.

All the best!

Be the first to comment - What do you think?  Posted by michigancarloans - January 11, 2013 at 9:03 am

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Few Tips to Get Car Loan Approval with Fair Credit

Having a bad credit prevents you from owning a new car? Do you have the passion to drive your own car? Do you wish to enjoy the luxury of driving your dream car? Passion is what required fulfilling your dreams. Do not be bothered if you have bad credit because of unfortunate incidents in the past. You can regain all the confidence and start living your life again with ease. The lenders are no more interested in your bad credit score. There are multiple offers available for such individuals and golden opportunities are being given to own the car and to improve credit score.

With the advancement in science and technology, sky is the limit to conquer. Similar are the conditions for availing bad credit auto loans. Having a bad credit will no way stop you from getting the car loan. Such incident has become a history now. The average rate of interest across the nation is 5.5% and it goes up to as high as 11%. However, people are lucky to get the loans from a base rate of 4.5% and it varies up to 7%. It is good to make use of these opportunities to build up the credit score and to fulfill your dreams. The Loan-To-Amount ratio differs from 90% to 125% traditionally. However, all these interest rates and the ratio will differ according to the lender. The interest rate might be slightly on the higher side due to the bad credit rating.

The borrowers have good chances to negotiate with the lenders to obtain better interest rates. It is good to avail lower monthly payments during the initial stages. Continuing the payment for a certain period of time will help you to improve the credit score. The individuals are eligible to apply for the refinance of car loans. The bad credit score is no more a truth and they can enjoy lower interest rates in the long run by which they can save more money.

The internet is the best place to start your search for genuine lenders. Good amount of research work is needed to find out information regarding them. There are many informative articles available that will help you to get educated about the loan process. You need to be aware of golden rules to be followed while obtaining the loan. Make sure to go through the providers reviews before you apply for the loan. Studying the pros and cons of loans and packages offered by lenders is a good idea. There are many guides available to pin point the frequently made mistakes. Go through such information in order to obtain the best of interest rates. Do not fell prey to lenders those who offer special discounts with lots of hidden charges and complex process. Read the terms and conditions properly before signing the loan papers. Bad credit auto loans are easy to obtain. Find a lender and make your wish true today!

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Online auto lenders offer low interest bad credit auto loans for people with poor credit or no credit for any vehicle with flexible terms such as no money down and no prepayment penalty through the network of sub-prime lenders. Applying for online auto loans eliminates the applications fees that are normally associated with getting a car loan through a bank or automobile dealer.

Be the first to comment - What do you think?  Posted by ezautofinance - November 15, 2010 at 11:28 am

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