How To Get a Car Loan with Bad Credit

At Miller Hill Subaru, Hermantown drivers often ask our finance team how to get a car loan with bad credit. Our finance specialists are pleased to help you figure out how to get a car with bad credit. Learn more here about how to get a bad credit car loan, and then contact us at Miller Hill Subaru to get a great deal with our new vehicle specials and other incentives.

Steps To Get a Car Loan with Bad Credit

So, let’s get to it. Just because you’ve had some credit challenges in Superior, WI doesn’t mean you should give up on getting a new or pre-owned Subaru when needed! Below are some steps to take to get a bad credit car loan. 

• Try to clean up your credit report before applying for a loan: Check your credit reports for errors; if you see any, dispute them immediately! Those errors could be dragging down your credit score. If you have outstanding debts, start paying them down as much as possible – even making a small dent in your debts can help improve your credit score. 
• Determine how much you can afford to pay each month: A good guideline is that your monthly car payment shouldn’t exceed 10% of your gross monthly income. Plus, you should budget for other expenseslike car insurance, annual registration fees, maintenance costs, and gasoline. 
• Make a bigger down payment if possible: A larger down payment will show lenders that you mean business and have saved money. It might help them see you more favorably. Plus, a larger down payment means you’ll have less to pay off, leading to less interest paid overall. 
• Be honest about what kind of car to buy. Your focus should be financing a vehicle you can afford to drive around Cloquet, even if it’s not your dream car. Be sure you can afford to take care of it in the years ahead. 
• Shop around with different lenders. Start applying for loans. With Miller Hill Subaru, you can apply online.Don’t assume the first lender to approve you will be the only one to approve your loan application. Apply with several lenders and compare their rates and fees.

Some Two Harbors drivers don’t realize that taking out a bad credit car loan and consistently making payments on time every month will help you improve your credit profile and credit score. That means you’ll have more lending power in the future and will likely qualify for lower-interest loans and credit cards.

Learn How to Finance a Car with Bad Credit at Miller Hill Subaru Today!

What are the next steps? Apply for a loan and request a value for your trade online. If you have questions, reach out to us! We’re always at your service and ready to assist you!