Bad Credit Car Loans Phoenix AZ
If you are searching for bad credit car loans in Phoenix AZ, In-Power Motors 5, LLC can help! We are a bad credit car dealership in Phoenix AZ allowing you to get a car loan with bad credit. No cosigner needed and Instant Approval with our in-house auto financing! Se Habla Español
Bad Credit Car Dealerships in Phoenix
Read our 5 star reviews on Google & Facebook. We have 4 $500 used car dealerships in Valley to serve you! Stop by In-Power Motors 5, LLC at 345 S 83rd Ave. Tolleson, AZ 85353 today, give us a call at (623) 248-8834, or search online to find $500 – – $1500 Down (O.A.C. – On Approved Credit) used cars, trucks, and SUVs to fit your budget. We have 4 bad credit car dealerships located throughout the Phoenix Valley area:
Apply For Bad Credit Car Financing Online
You can apply for bad credit car financing with In-Power Motors 5, LLC online. It’s easy to apply for a no credit car loan with In-Power Motors 5. Simply use the links in this text to guide you to our loan application page. Fill out the required information and submit it to us. We will get in contact with you shortly after submitting your loan application. Loan application info includes: Name, City, Address, Email, Date of Birth, Phone Number, DL number, Rental Information and Employer information.
How to Get a Car Loan with Bad Credit
Financing a car with bad credit isn’t easy but nearly anyone can do it with the right tips. According to Bankrate, the 9 steps to get a car loan with bad credit are:
1. Obtain a Credit Report
Bankrate says the first step to begin the car shopping process is to obtain a free credit report so you know what your credit score is. However, most bad credit car dealerships work with buyers that have bad credit so you won’t need to know you credit score to shop at buy here pay here car dealers that offer in-house financing.
2. Do Your Research
Do your research about the car you are interested in buying and go to KBB.com to find out how much its actually worth. You will have to pay a higher interest rate if you have bad credit but knowing the actual cost of the vehicle will help when it comes time to negotiate.
3. Find Bad Credit Dealerships
Shop around at the different bad credit car dealerships to find one that offers the lowest interest rate. Tell them what your credit score is so they do not have to run a report which could lower your credit score. Buy here pay here car dealerships sell cars to buyers with bad credit or no credit all the time. You will end up paying a higher interest rate if you choose a in house financing car dealership but you won’t have to worry about getting denied as long as you make enough income.
4. Consider a Credit Union
Pre-qualifying for an auto loan at a credit union or bank can be a great negotiating tool to get a good deal on a used car. If will be harder to get a bank approved loan with bad credit so your best chance is to consider a credit union. Credit unions are more likely to lend money to some with bad credit.
5. Finalize the Terms
Once you choose a car dealership that will offer you a loan, make sure the terms of the agreement are final, especially when it comes to the interest rate. Sometimes if the dealership cant get an answer from the lender right away they will go ahead and sell you the car at a predicted interest rate but then come back and change the interest rate later on because it was different than expected.
6. Consider Subprime Lenders*
Bankrate says you should avoid subprime lenders as the offer sky-high interest rates, but some people’s credit is so bad that they might need to consider going this route. Subprime lenders should be your last resort if you cannot find auto financing elsewhere.
7. Get a Low APR
Instead of worrying about receiving low monthly payments, instead, worry about getting a low interest rate. The higher your interest rate is, the longer it will take you to pay off your car and you will be paying mostly interest instead of principle. Try not to let the loan terms stretch out too far as well. The longer your loan, the more interest you will likely end up paying.
8. Get a Co-Signer
Getting a co-signer that has good credit will likely get you a lower interest rate and lower monthly payments. However, the car will likely need to be in their name, or the dealership will not make the deal. There is less risk involved with lending to someone who has proved their creditworthiness.
9. Skip the Add-Ons
Do not agree to a car loan that is contingent on your purchasing additional add-ons, such as after-marketing services, extended warranties, and auto insurance. These non-essential services can add up quickly.