How to Get a Car Loan with Bad Credit

Bad Credit

 

Although just about everyone knows that having bad credit makes it more difficult to get a loan, drivers with less-than-ideal credit still have options. If securing a bad credit car loan is all that stands between you and your goals, then rest assured: our financing specialists will do everything in their power to help you move forward. 

Applying for a Bad Credit Car Loan

Ultimately, almost any Pottstown-area lender will want to look at your credit score before they make you an offer—and those that don’t take this step probably don’t have your best interest in mind! Those who apply for a bad credit car loan should expect to pay a higher interest rate, and that might also mean that you’ll need more time to pay off the loan. Don’t forget: you should also factor insurance, fuel, maintenance, and other recurring costs into your budget.

Before you apply, use our payment calculator to find out how a higher or lower rate will impact your payments, and plan accordingly.

How to Get a Car Loan with Bad Credit: Improve Your Credit Score

Learning how to get a car with bad credit can certainly be difficult, but it might seem like your only option. However, before you commit to a loan with a long payoff term or a high interest rate, it might be worth it to take steps to improve your credit. Consider the following:

  • Errors and discrepancies are far from unheard of. Go over your credit report and clear up any errors as soon as possible. 
  • Paying off outstanding balances will lower your debt-to-income ratio and improve your score.
  • Making regular, on-time payments can also help to improve your credit. Although you certainly don’t want more debt, using a credit card for small expenses and paying it down every month may be able to help your score.

Ultimately, securing an automotive loan from our team may help you improve your credit in the long term! As long as you make payments on time, you’ll create a record that shows you’re a good borrower.

What Steps Should I Take To Get a Car Loan with Bad Credit?

There’s no substitute for careful budgeting, but what if you want to improve your chances of approval? Beyond simply improving your credit, there are several steps you can take to make the process easier today:

  • Make the largest down payment that you can. Paying more up front demonstrates your commitment, and it also reduces the amount that you have to borrow. 
  • Trade in your current vehicle. Whether you plan to buy new or bring home a used car priced under $10K, you can lower your total costs by trading in an old vehicle with our team. Even if your current car has seen better days, we’d love to take a look.
  • Don’t be afraid to shop around. You can apply for a bad credit car loan right here at Springfield Mitsubishi - Reading, but you might also want to check in with a trusted local bank or credit union! If you apply for multiple loans, make sure to complete all of your applications within a 14-day window, and only accept as much money as you need. This will help to protect your credit.

You Can Get a Car with Bad Credit at Springfield Mitsubishi - Reading

If you find yourself near Lancaster or Allentown, stop in and check out the selection at Springfield Mitsubishi - Reading. You can even start exploring our pre-owned vehicle specials from the comfort of your home!

More from Springfield Mitsubishi - Reading

    Saved Vehicles

    SAVED VEHICLES

    You don't have any saved vehicles!

    Look for this link on your favorites:

    Save

    Once you've saved some vehicles, you can view them here at any time.

    Contact Us

    610-994-2667

    Call Now

    3814 Pottsville Pike • Reading, PA 19605

    Get Directions

    Today's Hours:

    Open Today! Sales: 9am-9pm

    Open Today! Service: 7:30am-5pm

    Open Today! Parts: 7:30am-5pm

    Springfield Mitsubishi - Reading 40.393426, -75.935573.