Believe It Or Not – Car Loans And Bankruptcy Can Go Together

Car loans and bankruptcy can go together to create a win/win situation for you. If you have recently been through a bankruptcy and you lost your car in the bankruptcy, it is possible to get a loan even with your bad credit.

The most important thing to remember is that not all dealerships will be able to help those with bad credit. It will be necessary to seek a dealership or an auto consultant that offers special loans for those that have recently been through a bankruptcy.

I know that may sound slightly discouraging, but the positive side to this is that you can find someone who has expertise in special financing. This person will know exactly how to help you and work for you to get you the very best deal possible under your circumstances.

I want to let you in on another secret that many are not aware of. There are auto dealerships that have auto consultants versus car salesman. The name consultant describes very well what they can do for you.

An auto consultant works for you and finding one that will give you the best possible service can be a reality and a bonus. Bankruptcy is an ordeal in itself and to find that you are in need of a vehicle shortly after your bankruptcy is added stress that most people don’t need.

Imagine having a friend walk you through the process and leading you to the best situation to getting the auto loan you so desperately need and want. Imagine receiving guidance rather than being sold something that you don’t really need or will serve you in the future.

Research a few dealerships and auto consultants that offer special financing. Tell them the brief version of your story and ask if they have someone that specializes in sub-prime loans. Speak with that person and determine if they are helpful and eager. Can you hear the person’s passion for helping those who are trying to rebuild their credit score after hard times? If you can feel this compassion and understanding, chances are you have spoken with a consultant who cares about you and getting you a car that suits your situation. Trust you intuition or your “gut” feeling.

I would then take things to the next step and ask what you can do for the consultant before finding the best car loan for you. Ask if there is anything you can do before your first visit to help make the process easier.

Chances are the consultant will ask you to bring in some documents to provide proof of income, residency and insurance. In addition, they may ask you to bring a list of your income to monthly debt ratio. This will allow them to help you find a car that works and that helps you stay within your monthly budget. The consultant knows this gives you the greatest chance to begin rebuilding your credit history.

The Important Link Between Student Loans and Credit History

Fortunately not all student loans programs grant loans on the basis of your credit record and loan schemes such as Stafford loans and Perkins Loans are based solely upon your financial need. Unfortunately not all students will qualify for these loan schemes and those that do will find that the funds they provide are not enough to meet your needs and generally have to be topped up with additional loans.

For most students therefore there is a need for supplemental loans and that means credit based student loans. And credit based student loans means being able to demonstrate a good credit history in order to get the best interest rate and indeed, in many cases, to get a loan at all.

The first lesson that students need to learn therefore is that a bad credit history can make the difference between getting a loan and not getting a loan, or getting a loan on which you are going to have to pay a higher rate of interest than would have been necessary without a bad credit history.

When you apply for a loan the first thing that the loan officer is going to look at is your FICO score. This is a number calculated by the major credit agencies and the formula used for arriving at your FICO score is a closely guarded secret. However, there are certain factors which are known to affect your score and these you do need to know about.

FICO scores reflect how well you have handled credit in the past and so look at how much credit has been made available to you, how much outstanding debt you have and how good you have been at making payments on your credit agreements and loans. For example, if you have a credit card and have always made payments on time so that your account is up to date this will weigh in your favor. If, however, you have not always made payments on time and your account is in arrears then this will weigh against you and just heavily your FICO score will be affected will depend upon how many late payments you have made, how late those payments were and how much your account is now in arrears.

Now many students will not have a FICO score at all because they will not have had a credit card or taken out loans and so will have no credit history from which to calculate a FICO score. In this case students are generally judged on the basis of their parents’ credit history when it comes to granting college loans. Indeed, even where a student does have a credit history of his own, the parents’ income and credit history is often taken into account and plays an important part in any lending decision.

For both students and parents, building a good credit history and obtaining a high FICO score is important but there are some things which lenders tend to consider as more important than others. For example, many lenders consider late payment to be a particular problem and so they like to see a history of payments being made on time. They are also often nervous about borrowers who make too many enquiries about credit and of borrowers who have several credit cards, the majority of which are at or close to their maximum balance.

Bad Credit Mobile Home Loans and Mortgages – Is it Possible to Get Financed With Bad Credit?

Do you know what your credit report looks like? Do you already know that your credit is bad and it is going to be difficult to get the loan you need? If you need to get a loan for a mobile home and you have bad credit, then you are in luck because there are lenders with special programs that will work with you. You will find that if your credit score is below 600 it will be difficult to get the loan you need without going to a special lender. You will have to put up with a higher interest rate, but that is the price you pay when you need bad credit mobile home loans and mortgages. Here is what to expect.

When you start looking for a lender to finance your mobile home you will be turned down before you start by some. Do not let this get you discouraged. Not all lenders even loan against mobile homes and some are going to have requirements that others do not have. Simply ask questions and make sure you are honest about everything with your mobile home because it will show up on inspections and appraisals anyway so there is not point in hiding it. If you know what your credit score is do not be shy with it. Let the lender know because they may be able to give you an idea if they can help you or not without pulling your credit.

Once you find a lender that is willing to work with you, then you will have to submit documents to them for your income, the mobile home, and for anything else they might require. These usually include the title or deed for the mobile home, W-2 tax forms, and possibly a couple of paycheck stubs. If you have another source of income, like child support or alimony, then you might have to submit some sort of document proving that as well. If it is a new purchase of a mobile home you will also have to submit either a down payment or a bank statement proving that you can make the down payment that will be required.

The process is pretty easy and very smooth, but do expect there to be a couple of bumps along the way. This is normal and your account executive can usually figure these out pretty easily. The main thing you have to remember when getting bad credit mobile home loans and mortgages is that you are not getting a normal, everyday loan, and there will be some strangeness for an account executive that does not do many loans for mobile homes. Be patient with them and they will work with you to get you the loan you need. Also, expect that your interest rate will be higher due to your bad credit and if you are purchasing they may require a larger than normal down payment.