Are you shopping for a new car in New York with a less-than-perfect credit history?
That’s OK! More than 25% of New York car buyers suffer from credit problems. Many banks, credit unions, and other traditional car lenders rarely approve car financing with common financial hardships:
But New York buy here pay here car lots regularly extend credit to their customers out of their own pocket, a process known as in-house financing.
In just 3 minutes, we can help you get approved for financing from one of the many buy here pay here car lots in New York we’ve partnered with. When you submit your application, our online service will go to work matching you to the best New York buy here pay here car lot given your individual credit profile, income, down payment, and vehicular needs. With your credit already approved for financing, you can step onto the car lot with added confidence and negotiating leverage. It puts the fun back in car shopping, enabling you to focus on the car you want, not the financing you need approved.
Tips for Buying a Used Car
Most buy here pay here car sales are for used cars — best choice if your credit history is marred by bankruptcy, repossession, or poor credit in general. New cars lose 20-25% of their value the moment they leave the showroom floor. That’s because car buyers pay retail, but as soon as the car is sold, dealers will only pay wholesale to get it back.
A vehicle for which you agreed to pay $20,000 over a 60-month period may be worth only $15,000 before the first month is up. The result is what’s known as an “upside down car loan,” and nobody who’s been caught underneath one is likely to recommend it, especially if you ever want or need to sell the vehicle before it’s fully paid off. After all, you’ll have to come up with the extra cash to pay off the loan. A preowned vehicle, on the other hand, has already undergone this initial drop in value. A down payment is always a good idea if you have or can get the cash. Down payments will cut your car payments and possibly improve the terms of your auto loan. The good thing is that trade-ins of older cars are usually welcome at BHPH car lots. Many dealers might not be as accepting of your trade-in if it doesn’t match the existing cars on the lot in terms of condition, age, and make. But with a BHPH dealer you’ll have a better chance to roll the value of your old vehicle into a down payment for your new one.
Most financial experts recommend dedicating 1/5 of your monthly budget to vehicle payments and costs. Remember that this includes more than just your car payment. Gas, car insurance , maintenance, registration and title fees, as well as any other expenses such as municipal transportation or secondary vehicles all factor into this equation.
Credit & Financing Rate
You should always check your credit score prior to signing your car financing deal. Your auto interest rate is based largely on credit history, and without knowing it, you could pay too much. You should also check your credit report for erroneous bankruptcies, foreclosures, auto loan delinquencies, and/or other credit problems that could inflate your financing rates to astronomical proportions.
When you apply for financing via our website, we’ll send a brief message to your inbox detailing how to check your credit score and find out what range of auto finance interest rates you deserve.