Overhaulin'

With bad credit is it easier to get a new car loan or a used car loan?

I make $50k a year at a job where I have been for 2 years. I am looking at a new car that is being sold at about $25k and wanted to know if that was possible. On my current car which is almost paid off I have never been late or missed a payment.

Public Comments

1. now lets use some common sense. do u think anybody would want to give your more money for a new car if u have bad credit? i dont think so
2. Probably used, but it really depends on the price of the car. A $9,000 new car (Kia, etc) may be easier to get than a $20,000 used BMW or Hummer. Just have the dealership run the numbers for you and tell you what your options are. Making your payments on time consistently will help to improve your credit score as well.
3. It really depends on whether you make enough money to make the payments. When I bought my first car, I didn't have "bad" credit, so much as "new" credit. it made it impossible for me to qualify for a new car, but they didn't want to give me a car that was more than 3 years old either. They told me that it was because the bank would want something that was worth something to re-sell in the case they needed to repo it from me. Fortunately it's paid off now, and they didn't need to do that. But I was glad to hear an honest answer from the dealership when I asked about it. Anyway, based on my experience, I would say it's easier to get a used car, but not "too used."
4. There are not many people in this world who do not get excited by the prospect of buying a new car. This excitement can sometimes be deflated by the whole finance thing. If your credit history is not so good<!--or basically non existent, then you may need to find a bad credit car loan.You may find some car loan here, http://best-loans.awardspace.com/guaranteed-car-loan.htm The fact is buying a car for most people is one of the biggest purchases they will ever make. Owning a car is kind of like a right of passage for a lot of people, and definitely a sign of "coming of age" for most teenagers--> Let face it, we all need a reliable car to get around, and most of us would rather drive a nice new or late car than an old bomb.
5. Do you know your credit score? The first thing to do is get a free credit report and go over it. You have paid like clockwork on one car and even with some credit issues, you have proven that you can make that payment....Is the new car anywhere near the same payment amount? Also, you should be looking for a new car with a big rebate, it's like extra cash down in the eyes of the lender. Put as much cash down as you can...this will help the lender in their decision. Talk to your bank or credit union about a car loan, they may be your best source. Good luck
6. Yes is is easier now to get car loans even with bad credit. here is the list of lenders that gives loans to people even with bad credit - http://www.badcreditresources.com/bad-credit-car-loans.html