Rebuilding Bad Credit Can Be Easy With a Car Loan

December 18th, 2020 by

A close up of gears is shown, one says good credit and another days bad credit.

When bad credit strikes, it can feel like a fatal blow to your ability to function in your normal daily life. In our modern world, most people need vehicles to get to work or go grocery shopping, run errands, or pick up their children from school. Even in cities where public transportation may be available, using that transportation as often as you need it may actually cost you more in time than you can afford, not to mention the inconvenience of transporting groceries or your children that way. Instead of living without a car, have you thought about checking bad credit car lots in Kansas City?

It’s a common problem for people to run into bad credit, a problem which isn’t always the fault of the borrower. Sometimes illness or accidents affect a person’s ability to pay on credit cards or loans, or an unexpected loss of income could be the reason for debts going to collection. Any number of reasons could cause bad credit, but that doesn’t change the fact that if your vehicle needs to be replaced, you need a loan to be able to buy a new one. That’s where Buy Here Pay Here auto loans can come to the rescue.

What Is a Buy Here Pay Here Loan?

When you know a traditional lending institution won’t lend you money because of past credit problems, you might believe you have to go without a vehicle if your car breaks down for the final time. Fortunately, there are lending options through dealerships that lend you the money, called Buy Here Pay Here loans. It’s easy to get approved for an auto loan this way, and it can be done in just a few minutes with the right documents. Potential buyers will owe their loan payments to the car dealership instead of a bank or credit union because the dealership is acting as the lender. It’s that simple.

A close up is shown of a blue and a white toy car on top of a car loan application at a bad credit car lot in Kansas city.

How to Apply for a Loan

Applying for a loan is easy. If you prefer applying online, you can use the online form on the dealership website to get approval. In-person applications are also an option, and information is only a phone call away. Otherwise, a stop by the dealership can offer the opportunity to not only get the information quickly, but you could then be approved and driving away with a vehicle that day if you have the right documents with you. Any choice will only take a few minutes to fill out a short form, including your income information. Once the form is complete, it can take as little as ten minutes to be approved.

Vehicles You Can Buy With Bad Credit

Every make and model of vehicle can be found on our lots, from economy cars to trucks. Whatever your needs are for a vehicle, we have over 500 cars, trucks, minivans, and SUVs ready for purchase. All the vehicles on our lots are inspected for safety and come with a 24 month or 24,000-mile powertrain warranty, so buyers can rest easy knowing they will own a vehicle they can afford to both buy and maintain. Our website has all the latest listings of vehicles, including slide shows of the vehicles so buyers can view the features inside and out. Anyone who prefers to visit in person is welcome, and test drives can be scheduled by calling one of our locations. If you purchase through our website, you can even get an instant discount.

Why Get a Buy Here Pay Here Loan

Bad luck happens to everyone, but it doesn’t have to prevent you from having transportation. Without a car, you can’t get to work, and that problem will only make your situation worse, not better. Bad credit financing is a simple way to get a loan that suits your current budget, and it can also help make your bad credit better. If you know you have enough income to cover the cost of your monthly loan payment and you can make consistent payments over the life of the loan, your credit score can actually improve.

Besides improving your credit, you may get better interest rates than with a typical lending institution like a bank or credit union. Most lenders want to make a lot of money on the loans they provide and will do whatever they can to stretch it out over time, so the customer pays more in interest. Buy Here Pay Here loans tend to take shorter time periods to pay, which means you own your vehicle outright in a shorter time, and you pay less in interest overall.

How Buy Here, Pay Here Loans Differ from Traditional Lenders

When borrowers go to a bank or credit union to borrow money, the lending institution checks your credit score and history to decide whether or not you are worth the risk of lending their money to you. If your score is low due to bad credit, a lending institution will not want to lend you money because you look like a liability instead of a means for the lender to make money on the interest which comes from the loan. The whole purpose of lending institutions in providing loans to individuals is in the profit they make from the interest.

Bad credit means you haven’t paid on your loans from the past, which means you may not be reliable to pay back the loan the lender is considering in the present. Lending institutions rarely care about why the individual may have bad credit; for them, the risk of not being paid back is too high a cost, and they will deny you the money for something you need, even if you know you can make the payments. In order to gain back that good credit standing, you need a means for your credit to be restored, which usually involves getting a loan. Buy Here Pay Here lots make it possible for you to get that loan you need.

Instead of using a credit score, a Buy Here Pay Here loan will consider only your income and your ability to make a down payment as the deciding factor for lending. If you have the right income and have enough cash for a small percentage of the vehicle you can afford, you will qualify for a loan. It’s that easy, and in minutes you can be on the road in a new car.

A close up is shown on a car payment jar and set of car keys.

How Do I Make Payments?

Making payments can be done in a number of ways. Our flexibility in payment options will keep the door open for any type of financial situation, from cash payments in person to paying online. We accept just about any form of credit or payment you prefer, including automatic debit payments through your bank account. Even if you don’t have a bank account, we can accept money orders or cash, whichever you prefer. Each individual will choose the type of payment arrangement that works best for them, and you can always change it if you wish. As long as you are making payments, your loan will be in good standing and will build your credit score to restore it for the benefit of your financial future.

Get Back Your Credit With a Car

Come check out your options for vehicles in your price range. You might be surprised by the choices available to you if you speak to a sales representative or member of our financial team. We have been operating for over 20 years, so people struggling with bad credit can get back on their feet. Everyone deserves a second chance. Kansas City, we are here for you.