No Credit Auto Loans
Having no credit is not the end of the world. If you have no credit score or a very low score, you can still receive offers for auto loans, although the interest rate will likely be high. You might even receive offers where your first few credit payments will be at a lower price, but will increase after a certain point. Be smart and make sure you know how much you can afford to pay every month. Here at PrimeLoans, we are happy to help you learn about your credit history and find the right no credit auto loans for you.
Work with Us to Find Financing You Qualify For
Buying a car with no credit is not easy, but it is possible. Several lenders, once aware of your credit situation, may look into other aspects of your life to determine whether to extend a loan to you. For example, they might examine your residency situation, employment record, and banking history.
Having lived in the same place for a while will favor your situation. Breaking leases too often lowers your chances of getting credit approved. If you’ve held on to the same job for an extended period of time, your chances of approval rise. When it comes to your banking history, having a checking and/or savings account will also improve your chances for acquiring credit. Work with us to find a lender who is willing to extend no credit financing to you.
How to Build Credit
The first step to building credit is figuring out what your score is now. According to Federal Laws, you are entitled to one free copy of your credit report once a year. You may get one through AnnualCreditReport.com, as well as other agencies like Equifax, Experian, and Transunion.
Building credit is generally a gradual process. We recommend getting a credit card with a security deposit. You may apply for a credit card from the same bank where you have a checking account. Since you have poor credit history, your credit card limit will reflect how much you can currently afford. Pay your bill on time. Over time, your credit history will start building up. Review your credit score and take note on what your negative points are and on what areas you are improving. After a while, you might choose to take on another credit card with a higher limit. Only do this if you know you can manage to pay for your purchases.
Taking on a small loan from a bank to establish a “better” credit history is often not a good idea. The difference that this will make on your credit report is not substantial enough to justify paying the interest rate that you’ll be subjected for. Even a line of credit from a store is a better idea. No matter how you choose to build credit, ensure that you start small with something you are certain you can pay off.
Contact our firm to learn more about no credit auto loans. We are proud to serve clients nationwide.