How to Buy a Car Even With Bad Credit and No Money Down

You need a car. You have a not- so- good credit history. So, you have a problem or at the very least, apprehensions about the kind of attention and car you can get. The strange thing is, you are worrying too much. There are ways around your situation.

First of all, one thing most car buyers do not know is that by approaching a car dealer, you will have better chances of getting to buy your car, compared to a bank. This may be true on the initial level. What you don't know is the undercurrents that happen with every car dealer transaction.

Since the car dealership is the one helping you get financing, they have a tendency to add- on to the interest rate given by the financing companies, as additional compensation or commission. To help them get this lower rate from the lender, they will ask you to give a down payment on the car. It will also help them get you approved.

Thus, you get your car, and they get their sale. You also get to pay more, and they get to earn more. To turn things around so you can get a better deal with no down payment, what you can do is make arrangements to get pre- approved by a company, and not the in- house financing department of a car dealership. When you get this, you can walk into the showroom, head held up high, and get the car you want under the amount the finance company approved for you. Plus, since you are handing them a check, and they get the sale immediately, you are in a position to negotiate for a better deal.