A car is by no means a small investment – it often takes plenty of time and saving to afford one. And a lot of the time, to secure a car loan, you need a strong credit score. But if your record is less than ideal, don’t worry. So long as you know how, you’ll still be able to secure your perfect car. Why not follow our top tips to find out how?
- Boost your score before buying
This may sound like an obvious point – but it’s still an important one. If you’re wanting to boost your credit score in order to buy a new car, the first step is to try to clear your debts. While this may sound daunting, it can be easy to do – you just need to work out a step-by-step Debt Management Plan. Once you start clearing your debts, you’ll be well on your way to improving your record. And so, you’ll be able to start the buying process with complete peace of mind. All it takes is some simple budgeting! Speaking of which…
- Stay on top of other payments
It’s important to keep an eye on your credit score during the months leading up to a loan application. Let’s not forget your regular bills, though. Auto lenders are unlikely to look favourably on outstanding costs like rent and mortgage repayments. In addition, failure to pay vital costs can improve your credit score even further – so, it’s an all-round good idea to keep track of ongoing payments.
For effective budgeting, why don’t you create a cash flow? To do this, simply divide the number of days within the month by your available outgoings and put the information into a spreadsheet. Save the document to your phone, and you’ll be able to increase your chances of buying the car you want.
- Ask for financial help
Struggling to secure a loan through a mainstream company? You could benefit from a trusted specialist lender. Of course, it’s usually best to avoid providers that promise car finance for everyone (as you can’t be entirely sure as to whether they’re entirely trustworthy or not). But look in the right places, and you’ll be able to find a reliable, reputable firm.Go Car Credit and similar lenders offer car finance options to all suitable applicants, even if they’ve incurred poor credit in the past.
You needn’t let a poor credit score put you off buying a car. Now that you know how, you can work around a low rating to find an option that works for you.