New Car Loans for Bad Credit

Bad credit auto loan customers often think that with this type of loan, they can only consider a used car. Although this used to be the case many years ago, with the advent of bad credit lenders on a national scale, car buyers can now take advantage of new car loans for bad credit.

Not only can shoppers consider new cars, but if they work for an auto company or have a family member or even know of someone that works for a car manufacturer, they can also use an employee discount along with their new car loans for bad credit program.

Here is how it works: If you are a Chrysler employee, retiree or friend (Employee Advantage), a Ford employee, retiree or friend (A-plan, S-plan, X-plan) or a GM employee, retiree or supplier (GMO, GMS), you can use your employee discount to purchase any new eligible vehicle on the we finance car lot. Remember, these discounts apply to the vehicle, not to the financing source.

You need to remember, however, that even though you are eligible to apply the discount to any vehicle, the bad credit car loan process is quite different from the conventional loan process.

When you apply for new car loans for bad credit, the lender will determine how much you can afford to pay each month for a car loan. Once the lender makes this decision, the special finance department can give you an idea of what kind of vehicles will work; given the parameters the lender has given them (these include interest rate, down payment and maximum loan term).

One other thing to note: In addition to being able to use your eligibility for an employee discount, another advantage in qualifying for new car loans for bad credit is that many subprime lenders will allow you to use new car rebates to cover a portion of the required down payment, which means you need to come up with less cash out of pocket in order to finance your new car.