Hello! I am new to the forum, but must admit, I have learned SO MUCH from everyone here! I have searched high and low to try and find something about just how low your credit score can be in order to obtain an auto loan, and not really much luck, so I hope some of you can give me some ideas as what my options are (if any) and where can I go to obtain a loan with this score....
My credit score is definetly a 'work-in-progress.' I had quite a few charge-offs about 5 years ago - most of them I paid (settled). It is SLOWLY working its way back up. I have done an excellent job paying all of my bills/credit cards on time, and trying to keep those balances as low as possible.
Now I am in a position where I HAVE to get an auto loan! I have worked on this for so long, and it seems that my credit just doesn't want to go much higher than the 620 range right now. I have been trying to bring it up to AT LEAST a 650, but it just isn't happening. I understand that the bottom line is, I am going to be paying higher interest - if I was even approved, but I just need to know if I have any options!
I make a little over $36000 / year. I do not have a mortgage or any other loans (other than my credit cards, but those are low balances).
First of all, I am looking to obtain no more than a $24000 loan (just to give myself some room, depending on which vehicle I purchase). Second, I have to do this on my own - no cosignor to help me out. Third, and I hate that this is the case, but I just do not have any money for a down payment at this time. I have been putting so much money into my poor little car now, I just haven't been able to save like I'd like to....
I keep saying, "Maybe next month my credit score will be better" over and over, and it's just staying relatively the same. I have to TRY and bite the bullet and do this and need your help.....
Does anyone know of any lenders that will take someone in my position into consideration? If so, can you direct me on who those lenders may be? Also, MYFICO says that I will probably be paying around 11+% interest (YIKES! But unfortunately, I am absolutely DESPARATE) - I was certainly planning on that being the case, but by chance, anyone know if there are any other lenders out there who would probably offer me a better rate?
WOW! I just wrote a novel here, so thanks to ALL who took the time to read this, and THANK YOU SO MUCH, to those of you who take the time to respond and help me!
Regards!!!