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Poor credit car loans – Getting the best deal

If you have less than a perfect credit rating then you might think that obtaining a loan to buy your dream car is out of your reach. While it might be true that lenders will not approve you for an unsecured loan it still might be possible to get poor credit car loans with a specialist. If you allow a specialist website to search on your behalf for the cheapest deals based on the fact that you have a poor credit rating then that dream vehicle might not be out of your reach.

If you have less than a perfect credit rating then you might think that obtaining a loan to buy your dream car is out of your reach. While it might be true that lenders will not approve you for an unsecured loan it still might be possible to get poor credit car loans with a specialist. If you allow a specialist website to search on your behalf for the cheapest deals based on the fact that you have a poor credit rating then that dream vehicle might not be out of your reach.


Your credit rating is one of the first things that will be taken into account when you apply for credit of any kind. This even includes such as trying to take out a monthly mobile phone contract. If you have had loans before and have defaulted on them then this will show up on your credit file as a black mark. Even if you sorted out your loan problems some years’ previously your credit file could still be in tatters. If so then the chances of you obtaining a good deal on a regular loan are slim. Poor credit car loans on the other hand are loan aimed at those individuals with a less than perfect credit score; they give them a chance to borrow again.


Generally such borrowing will come as a secured loan. This means that you have to put something up of value against the amount you are borrowing. If you then default on the loan whatever you had chosen to secure could be taken by the lender through the courts and be sold so the lender could get their money back.


Usually a poor credit car loan will come with a higher rate of interest than an unsecured loan. However as there is some competition in the loan market, by going with an insurance broker you can search and compare for the lowest rate of interest for your circumstances. Along with comparing the cost you will also have to compare the loan of course as to how much you will have to pay back in total. The longer you took the loan over the cheaper the monthly payments will be on the loan. However you will also have to take into account that the longer period then the more interest you will pay on the loan and this could add on a considerable amount of money. Therefore you will have to come to a compromise between the term and the monthly payments. If you repay such a loan with no problems then this can help to improve your credit score.

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