We've all heard the saying, "
Three strikes and your out!" This may be true in baseball and other things in our lives but it does not hold true when it comes to your credit and auto financing from traditional sub-prime lenders. There are several auto loan lenders whom are ready willing and able to give you a second chance after a major personal economic down turn, but next to none that are willing to help you bounce back after a second major personal economic downturn.
Nearly every
second change auto financing company refuses to lend money to people with multiple bankruptcies or multiple repossessions, outside of bankruptcy; that is to say two separate repossessions with an extended period of time between the two. In other words, subprime financing companies are lined up to give you a second chance, but rarely a third. So if your looking to improve the financial quality of your life, it's very important that once you're given a second chance, you make your payments on time.
If you've had 2 bankruptcies or 2 repossessions, it does not mean that you cannot buy a car; it just means that chances are you won't get approved for a
poor credit car loan via a sub-prime lender. If you find yourself in this situation, you would still qualify for
buy here pay here auto financing.
Getting approved for a buy here pay here financing is much easier than it is to get approved for second chance auto financing from a sub-prime auto lender. There are different
types of buy here pay here financing. Most, however, have guaranteed auto financing for people with any credit situation. Basically, all you have to do is prove you can afford the monthly bad credit used car loan payment, and have enough money down to pay for the incidental fees associated with
buying a used car such as document processing, title, tag, and license fees.