Can I Buy A Car With Bad Credit With Zero Money Down?
Lets face facts
Lets face facts. Not everyone has a great job and perfect credit. You know those annoying people who buy cars with a huge amount down and have perfect credit? Well, most of us out there are not in the same position of these folks. Buying a car if you have bad credit and no money to put down seem to go together like oil and water. Well, at least that was the case years ago. Times have changed now and there are alternative ways to help people who fall in this oh too familiar category. There are a lot of car loans available now for most everyone with lenders that specialize in bad credit customers. There is a growing demand for these lenders as the market is requiring a solution for the credit challenged.
The need to buy a car with bad credit and no money down is becoming a reality for many Canadians that otherwise wouldnt be able to qualify for such traditional car loans. With the recession and a lot of people having to have filed for bankruptcy, there is a new category of people out there. Many people that had great credit ratings have found themselves unemployed and without homes and other assets usually needed to get a car loan or obtain credit. Luckily there are lenders out there that are willing to help those people looking for a vehicle.
Although it is a great opportunity for people that need to get a car loan, a person shouldnt expect to have the same interest as someone with good credit. The rate is often higher than 9% and there are still requirements to meet. For example, a person cant have an open bankruptcy. Also, a minimum monthly income of at least $1500 is generally needed but also a joint income of around $2200 may also be enough. Even though you can get a loan without putting any money down, it still is a good idea to have some money to put down as it lessens the amount that you will be paying interest on. Ideally you want to have as little financed as possible to pay less interest in the long run. With a down payment, you also will have a lower monthly payment as for most people, a monthly budget is an important part of whether you can afford a car or not.