Tax time is here and many people are hoping to use their taxes as a down payment on a car.  Is there any way to make this a smoother process?  New Start Auto Loans partners with dealerships all over North America that can help people with bad credit, limited credit, no credit, and hard to finance situations like self employed income.  Since New Start Auto Loans partners with dealers with special finance programs, may of the dealers in our extended network can help you use your tax return as a down payment on a car.  Some of the dealers in our extended network can even match you directly with a tax preparing expert to get you a refund quickly.

To get started today, just complete the easy steps on our get a loan pages and you could be matched to a finance manager in your area today!

Get A Car Loan

Finding someone to give you an auto loan when you have bad credit can be tough.  People in Chicago and it’s surrounding suburbs may now have help thanks to new programs with local lenders and finance managers teamed with New Start Auto Loans.  New Start Auto Loans has teamed up with finance programs in the Chicago area in order to better serve the auto loan needs of those with bad credit or bankruptcy.

Illinois has different repossession laws than many other states and has changed those laws which may make it easier for people with bad credit to find the financing they need.  If you live in or near Chicago Illinois and need a car loan don’t let bad credit stand in your way.  Just complete the easy, two step application to be matched to a finance manager.  Once matched you will need to gather up some documents that will be forwarded to your auto loan lender by your finance manager.  These documents may include proof of income such as check stubs or award letters, phone bill, and utility bill.  Gathering these documents before you look at cars will likely speed the process for you when you are ready to take a car home.

Click here to complete an auto loan application

If you write a bad check (one that will definitely bounce) you will at minimum, get charged one or two late fees.  These late fees are usually about $30 to $40.  You can get charged two because most banks will try to process the payment twice before it gets kicked back.  You now owe the original 300 and about another 70.  The retailer you write the check to may also charge bad check fees, let’s say that is the same amount, you could then owe 400+ for your $300 check.  The retailer may also decide to press charges.  Depending on your history or how aggressive they are you will likely end up with a fine possibly even jail time.  If you have done this before the penalty will be more severe.  A small ticket for this might be $250 fine.  Total these up and you now owe $650 for a $300 check.  Worst case scenario might involve something along the lines of fines, penalties, jail time, a permanent criminal history, closed accounts with the bank and difficulty finding someone that will give you a new account, a derogatory mark on your credit report, harassing calls from collection agencies, and a tarnished reputation.

So the question is, Why Do People With Bad Credit Get High Interest Rates? I hear this so often that I feel Like I will never be able to get the message through.  People also say not to go a dealer for your auto loan because they will scam you with a high interest rate.

I’m not sure how the the idea that dealerships can sucker people into high interest rates got started.  This idea though is at minimum, outdated.  Sure their are dealerships that are not on the up and up, these days, with all of the regulations though, it is hard for a dealer to do shady business, but this almost never carries over into the loans for one very important reason.  Unless the dealer is a buy here pay here dealer, they don’t have much control over your interest rates.  A dealer may be able to assist in getting you a lower interest rate or advise a certain vehicle situation that will make your deal work better but rates are set by the lender that they go through.  Lenders will place you in a risk category based on your history, employment, income and other factors.  The lenders do not want an interest rate that’s too high.  Rates that are too high will, one, put them at a disadvantage when competing for your business with the other lenders the dealer uses, and two, make the loan unaffordable and cause higher rates of default.
Would it make sense for a lender to do something that causes higher default rates?  I think not.  Yes, I’m sure that it’s no fun to have a higher interest rate with bad credit.  If you have bad credit you do not qualify for the best rates, how could you?  Like I said before your interest rate is set by the lender based on risk, they put you into the lowest risk category possible so they can secure your loan.  Investors borrow the lenders money by investing, these investments are also based on risk.  Since the investors borrow the money at higher rates, it would be impossible to lend the money to the buyer at a lower rate.

I would like to ask for questions that anyone who has bad credit, no credit, bankruptcies, or just plain needs an answer, to car loan questions to place them in the comments area and I will respond one at a time.

Thanks,

Admin

How to and repair your credit and get bad credit auto loans!

(part 1)

Bad credit can mean different things to different people but in general, bad credit is anything that will make it harder for someone to get the best finance rates or even get approved for an auto loan.  Have things in your credit history that would make it hard to get an auto loan could include late payments, going over your credit limit, repossessions, charge-offs, foreclosures, bankruptcy, credit counseling, and even having a high debt to available credit.

Bad credit doesn’t mean that you are a bad person, bad things happen to good people too.  The first thing that you should do once you come to the realization that you have bad credit is repair it.  The remedy for your bad credit depends on the problem.  To break it down I will separate these things and tell you what to get your credit back on track so you can get an auto loan.

Late payments:  We all know how what this is.  You’ve got a bill that’s due and you either forget or come up short when it’s time to pay.  If you have a late payment, whether is on bad credit auto loans or any other type of bill, you should contact the company you owe and explain as well as you can the circumstance.  Let them know you will pay them immediately and ask them to not report it on your credit file; then, pay them as soon as possible.  In the future make sure you make your bills a priority.  Pay bills before you do anything else; you don’t need to wait until a bill is due to pay it, in many cases that’s just asking for trouble.  Pay your bills as soon as you can and it wouldn’t hurt if you got a little ahead of schedule.

Going over your credit limit:  Going over your credit limit can be a problem for many reasons.  First, you are using up all of your credit and won’t have any available if you need it.  Second, your credit card company can penalize you for going over your credit limit; the penalty is usually higher interest which means higher payments and less of your payment going towards your balance.  Finally, If you have a high percentage of your credit line used, your credit score will go down making things worse all around.  If you are in jeopardy of going over your credit limit something needs to change.  You need to figure out a way to reduce your balance before it gets out of control or you need to get your credit limit raised.  Raising your credit limit may not be an option but if it is this is not a solution you should consider if it will be difficult to pay off your balance.

Repossession:  A repossession is most commonly associated with cars but can happen with anything you have a loan on.  If you don’t comply with the terms of the agreement you could have that object taken back by the company who gave you your loan.  To avoid this make sure your payments are on time.  Some people make the mistake of thinking that if they let the car or object get repossessed they will be done with the whole situation but this is usually not the case.  If you have your car repossessed it is most common for the lender to send the car to auction for sale.  Whatever the car brings at auction minus costs will be subtracted from your balance and you will be left with the remainder and a very negative mark on your credit file.

Easy Two Step Bad Credit Auto Loans Application

How to and repair your credit and get bad credit auto loans!

(part 2)

Charge-offs:  Charge offs happen when a creditor considers a debt uncollected on the write it off as a loss.  This could happen after repossession, if the lender has difficulty collection on the remaining balance.  This could also happen if there is no tangible product but a balance remains and is unsatisfied.  To avoid a charge off, make sure to settle all outstanding balances as quickly as possible.  The best case scenario would be if you contact the company you owe and ask them to remove all negative standing from your credit if you satisfy the debt.  If they agree ask them to provide this offer in writing.  If you don’t have it in writing you might have a hard time fighting that if they don’t follow through.

Foreclosures:  A foreclosure is when a lender takes a house or other building because they borrower did not abide by the terms of the loan.  A foreclose can be a very negative mark on your credit history as home loans and auto loans are usually the two biggest influences on your credit and credit score.  To avoid a foreclosure make sure to keep your mortgage payments up.  If you fall behind, make it a priority to get back on track.  If necessary, you can contact the lender and request a loan modification.  A loan modification can take the past due balance and add it to the end of your mortgage and possibly reduce your interest rate to make your payments more affordable.  The lenders may be open to this because they don’t want to foreclose on your property, foreclose in usually a lose-lose situation for everyone.

Bankruptcy:  A bankruptcy is the legal discharge of some or all of a person or business’s debt.  There are several types of bankruptcy, some are quick like a chapter seven and some are more drawn out like a chapter thirteen.  We won’t get into the specific differences now; I’ll save that for another time.  If you are considering filing for bankruptcy, you should consider your options first.   If you only have a few thousand dollars in debt, it will likely be better for you to just buckle down and pay it off.  If you owe so much that you won’t be able to pay it off even if given several years, you might benefit from a bankruptcy more.  Bankruptcy will show up on your credit history for ten years so keep this in mind; Most other items will disappear from you credit in seven years.  Before filing for bankruptcy, make sure you are not going to end up back in the same situation.  Get your monthly spending under control and reduce ALL unnecessary spending such as premium phone plans, premium cable packages, if your kids are going to have extras, make them either earn it at home or pay for them out of their own pocket.   If you have had a bankruptcy, make sure that you stay on track from here on out.  Some lenders can see past a bankruptcy but if you have negative credit after a bankruptcy you might as well forget it.

Credit counseling:  Credit counseling usually involves negotiating with creditors to settle on a lesser debt paid over a period of time and may include educating the people in credit counseling to help them prepare for future debts.  Credit counseling is often in place of filing for bankruptcy.  Anyone considering credit counseling should know that this can also be a negative mark on credit and may disqualify you for an auto loan or other credit especially while you are in credit counseling.  The reason this is a negative mark on your credit is because you negotiating for a lower balance with your creditors and breaking the original agreement. Many people that start credit counseling are not able to finish and are left in an even worse position with creditors.  If you are considering bankruptcy or credit counseling know that they can both be negative mark on credit and make it hard to get an auto loan.  You should educate yourself before jumping into either situation.  If you are in credit counseling, follow your plan carefully and stick it out.

The key to getting good credit and keeping it is always paying your bills on time and don’t spend more than you make.  Of course this isn’t always as easy as it sounds.  Watch for my article on spending for advice on this later.

Once you have implemented some or all of the tips in this article, know that getting bad credit auto loans are not impossible; In fact,  getting an auto loan may actually help you build your credit more than just about anything else provided you stick to your payments on time.  The two biggest influences on your credit as I mentioned earlier can be a mortgage and an auto loan.  If you secure an auto loan, just make your payments on time and after a year and a half or so you might be shocked at how much higher your credit score is.

New Start Auto Loans understands that bad things happen to good people and can help you get an auto loan if you have bad credit.  To apply for bad credit auto loans, just click on the link below.

Easy Two Step Bad Credit Auto Loans Application

Bad credit car loans in Nashville Tennessee

New Start Auto Loans Has opened it’s programs for the Nashville Tennessee area! If you live in Nashville, Hendersonville, Gallatin, or any of the surrounding areas and need a car loan but have bad credit, limited credit or no credit, you can apply for a car loan at New Start Auto Loans.
New Start Auto Loans is a premier provider of auto loan assistance across the United States and Canada. New Start Auto Loans can help people with bankruptcies, limited credit, no credit, or just plain bad credit by matching their application to a special finance program in their area. Once the application is matched, a special finance manager will work to match you to the right loan package.
In the past, it may have been difficult for residents of Nashville, Hendersonville, Gallatin, Tennessee and surrounding areas to get a bad credit car loan because of limited options. To get approved for an auto loan today, just click on the link below and complete the easy two step application. You information will be securely matched to a special finance instantly.

Get A Bad Credit Car Loan Here

New Start Auto Loans has expanded its programs once again and can now offer Bad Credit Auto Loans in Canada.  If you live in Canada you can be matched to a finance manager in your area that has special programs for people that have limited credit, no credit, bankruptcies, repossessions, collections, or just plain bad credit.  To be prepared for an auto loan, you will need to do a few things.

1. Gather up all of your information.  You will need:

• Phone Bill
• Utility Bill
• Check Stubs or proof of income such as award letters, pension statements, child support etc.
• 5 references, name address phone number.  Can be friends, relative neighbors.

2.      Determine what monthly payment you can afford.  Usually the bank won’t allow anyone with bad credit to have over   a 55% debt ratio (55% of your income in total credit payments like home, credit cards, other loans.  Usually they will allow between 12 and 18% of your gross monthly income for a car payment

3.      Get matched to a local finance manager that has special finance programs for people with bad credit.  Just click on the link below to complete the easy two part application.

Get A Bad Credit Auto Loan In Canada

People that have bad credit and need a car loan may be required to put money down to get approved. How much will you need to put down to get approved? Each situation is different. If you have bad credit, or any type of credit for that matter is, put as much down as you can.
Some people don’t realize that no matter what your credit is, you can benefit from money down.  Money down can affect your interest rates, monthly payment, and even if you get approved or not.  In ideal situations, lenders like to see about 25% down.  This will usually get you to an equity position that is desirable and will help reduce negative equity if you decide you need to trade your car in or sell your car.

When looking for a car loan, a thousand dollars is a good start; however, if you can put $2,000 down this will increase your odds of getting the loan terms you need and reduce your monthly payment.  Since car loan prices vary there is no set guideline aside from the 25% rule.  Simply put, use as much money as you can for a down payment and you will be better off.  If you don’t have anything to put down you may still be able to get a car loan but prepare to be more flexible on your car choices and finance terms.

Apply For A Car Loan Here

If you live in or around Green Bay and need an auto loan but have bad credit you are not alone.  In this day and age millions of people have been affected by loss of income, mounting debt, and and other various problem that can lead to bad credit.  Despite the lack of credit, the need for reliable transportation continues.  To get an auto loan in Green Bay WI. with bad credit, you need to go about things a little differently.

First of all, bad credit can mean many different things to different people but usually, anything on your credit report that can make it hard to get an auto loan, can be considered bad credit.  If you’ve had a bankruptcy, foreclosure, repossession, collections or past due bills, your credit has probably been affected making it hard to get a loan.  So what can you do?

Make a plan.  If you want an auto loan you will need to make sure you are going to be able to afford it.  This can be done by eliminating unnecessary bills.  This could include money spent on t.v. plans over basic cable, phone plans with extra data, texting, or features not needed, extra money spent going out or on extra clothes.  If you haven’t been able to pay your bills you need to make your bills less than you make!

Be Reasonable.  Before we get to where to find your loan, You should know this:  If you have bad credit you will likely not have the same interest rates as a prime credit buyer.  The same financed amount for a good credit buyer that equals a $350 a month payment might equal a $450 a month payment for you.  With this in mind, you should consider building your credit a little before you seek out your dream car.  Some cars may work out better in your situation so try to keep an open mind.

Talk To A Special Finance Manager.  You can do a ton of prep work, get your bills in line, and save up for a down payment but if you just go to your local dealer, you may still be out of luck.  If you work with a qualified special finance manager your odds of getting what you need increases.  Special finance managers have experience with your situation and have lenders that seek customers like you.  The good news is, New Start Auto Loans only works with dealerships that have special finance programs.  New Start Auto Loans has added service for areas in and around Green Bay, Appleton, Fond Du Lac, Manitowoc, Two Rivers, and Sheboygan Wisconsin.  To Apply Click On The Link Below.

Get A Bad Credit Auto Loan Here

Residents of Madison Wisconsin now have a way to get an auto loan even if they have bad credit.  Bad credit is is the eye of the beholder but many lenders consider credit to be bad if it does not qualify for their programs.  Some might have a bankruptcy, or foreclosure, maybe limited credit or no credit.  All of these situations can make it difficult to find the auto loan you are looking for. 

New Start Auto Loans has now opened it’s gates to anyone who lives in or around Madison Wisconsin!  How does it work?  If you have bad credit, simply complete the easy two part application and you can be matched with a finance manager in Wisconsin who is qualified to get you the auto loan you need.

Don’t just continue to go from dealership to dealership hopping something magical will happen, you need a finance manager that has the skills to get you matched with the right program.  Not all finance programs are the same.  Special finance programs are for people that need a car but don’t have the credit to qualify for one on their own.  Just click on the link below and be matched today!

Get A Bad Credit Auto Loan Here

Of course everyone will tell you, be responsible, it takes time.  You don’t have time you need a quick fix!  I’m just going to go out on a limb and guess you are getting things removed from your credit.  Even though they may be derogatory accounts, it can still bring your credit score down.  This is because the credit bureaus look at these derogatory accounts like they are credit.  Credit that has been open for a long time carries much more weight than new credit lines.  So, whatever you do, don’t eliminate old credit lines unless you have to.  Some people think that by getting rid of their credit cards they can have perfect credit; not true, good credit is a nice balance of different types of credit and contains mature credit accounts.  If you eliminate some or all of these derogatory accounts you will drop your credit score.

Here’s the good news, lenders don’t just go by credit scores these days, they look more at the content of your credit.  If you eliminated some of those old derogatory credit lines it may be for the best anyway.

Now, for the credit boost.  For the highest credit you can get as soon as possible, work on 2 things.

1. Your debt ratio. If you have $10,000 in available credit and $6,500 in debt you are over the comfort level for optimum score.  You need to stay below 50% debt to available credit to look good and below 30% is best for your credit score.  If you need, get added to someone else’ credit line that has good debt ratios so your debt picture looks better, it’s especially good if they have had the account in good standing for a long time.   This rule holds up to any amount even if your credit line is $100, stay below 50%!

2. Debt to income.   You need have below 50% of your income in recurring debt.  This includes your monthly payment on you new anticipated purchase.  Once you get much outside of this realm, your ability to pay, as far as the lender is concerned, is greatly reduced.  Do whatever you need to do to get this in line.

Once you accomplish these things, you are a prepared as you can be as far as eligibility goes, now just start saving for a down payment.

So, by now you have probably been to at least a few dealerships and picked out a car, truck, s.u.v., or van and proceeded to run through the ringers of the sales process only to find out that you cannot get financing. If you have some “hick-ups” in your credit history such as a bankruptcy, charge-offs, collections, repossessions, credit counseling or even just plain no credit you will probably encounter problems when trying to find financing for you next vehicle. There are a few reasons why you are having more problems than you need to.

When you thought you were ready to buy a vehicle, you went into a regular dealership, talked to a regular salesperson, picked the prettiest car and tried to finance it with the regular finance department. If you want financing for less than prime credit or as a first time buyer, doesn’t it make sense that you would talk a sub prime finance specialist? They are used to dealing with situations just like yours. All day every day they see applications come across their desk that have the same problems and get them financing. They can help you find what vehicle will work best to fit not only your financing needs but your needs in life. When searching for vehicle financing, consider New Start Auto Loans because they have a network of finance managers that are trained to handle your specific need and not just a one stop finance mill that most dealerships have.

When preparing to talk to your sub prime finance manager for a no credit or bad credit car loan there are things that you will need to begin gathering up because the bank will want you to prove several things. First, you will need to gather your most recent proof of income. If you are in the workforce and receive a check that they remove taxes before you get paid this is considered W2 wages and can use a check stub most of the time to verify wages. If you receive social security or disability income or any other form of payments from local or state government you will need what’s called an award letter. This is the statement that comes periodically to let you know how much your benefit amount is. You may also need to show recent bank statements to show that the money goes into your account. If you are self employed or work partly for cash, you will likely need to show tax returns. This is when writing everything under the sun off on your taxes to show very little income is not beneficial. Second, will you need to gather together a few references; usually people will put down relatives since it is easy to track their info down. You will probably need their name address and phone number and will need between three and six references. Next, you will need to show that you actually get your bills at the address listed. This can be shown by providing a current utility bill (water, electric, heat, etc.). And finally you will need to provide your phone bill to show that the phone number you provided is in your name. Remember that when your finance manager asks you for these things, it’s not that they don’t believe what you say, or even really that the banks don’t believe you, you can thank your ever expanding government for many of these things. Bad credit, Good credit, or Medium credit all will need to prove their identity and help thwart the increasingly problematic identity theft.

Apply For A No Credit Auto Loan Here!

Bad credit car loans are available in Milwaukee Wisconsin.  If you live in Milwaukee WI. and have had hard time getting the car loan you are looking for you can now find the car loan you are looking for with New Start Auto Loans.  New Start Auto Loans has been helping find car loans for good people with bad credit for years.  Now anyone with bad credit living in Milwaukee or surrounding areas can get matched with a car loan.

Bad credit is in the eye of the beholder but if you’ve had a bankruptcy, a repossession, limited credit or no credit you may have had a hard time finding a car loan.  New Start Auto Loans has teamed up with local finance managers to serve Milwaukee and the surrounding areas to help match anyone with bad credit with the car loan they need.

Isn’t it time to have the car you need rather than going on just hoping your situation will improve?  Gather up your proof of income , proof of address and apply to be matched with a finance manager in your area.  Having a good car is not optional for anyone who whats to see their family or get to work so don’t let your credit stand in the way of your life.

Just fill out the easy 1 minute car loan application now to be matched with a finance manager in your area!

Get A Bad Credit Car Loan Here