If you have ever take a loan in life you must be aware of the importance of credit score. Credit score depends on the various factors such as your payment history, your job, number of finance application, any debt and so on.
Almost 30% of Americans have a poor or bad credit score. If you are also running on a bad credit score, you know how difficult it is to get approved for a loan from the banks? On the other hand, car dealerships offer financing option for your car if you have a similar situation.
The truth behind auto dealer financing is that they will not finance for your car directly. Car dealership arranges finance for you from the finance company. So that car loans with bad credit get approved easily.
Why car dealership provide you a car loan?
In most of the cases, car dealership earns a profit by financing your car loan. Finance companies have a tie-up with the car dealerships. Both get benefits when you choose car dealership for car finance. For finance company loan is sold and for the car dealership car is sold and new customer relation is built.
In some cases, a car dealership may get the fractional percentage of interest rate you pay to the finance company on repayment of the loan. Whether they get benefit or not it is not your concern. What is important for you is to finance your car with a bad credit score.
It is the great option for you if your car loan application is turned down by the bank. What you need to do is you have to search online for the car dealership that provides the financing option for the people with bad credit.
There are hundreds of website that has a large network of bad credit auto dealers and private lenders. You can get pre-approved for the auto loan just by submitting an online form on such websites.
You can visit this website to know more about the car dealership offering car loans for bad credit score.