How to get a bad car loan, mistakes to avoid

How to get a bad car loan, mistakes you should avoid. Getting a car loan can be a confusing and stressful procedure, especially if you don’t have experience in loans and don’t have the time to make sure you’re getting a good deal. The truth is that finding a good loan is not that complicated although it will require some effort and common sense choices from your part. In order to see what you should do to get a good deal, we will turn the problem on its head and see what you shouldn’t do. So please view this article as a recipe for disaster, a pocket sized pandora box of car loans. If you follow this advice you will be penniless, have a credit score that would scare sharks away and your car will probably suck. Happy reading!

1) Just think about how much the monthly payments will be.

Most of us mortals live on a monthly budget, month to month. If we can afford it from our monthly paycheck we are happy. Car dealers know this, so what do they do? They are crafty, so they extend your loan into infinity, which keeps your monthly payments way down but you will still be paying for your loan when you’re riding a zimmer frame (a walker)!

2) Take longer loans to get a better car.

Very similar to genius advice one. The devious car loan broker suggests… hey, I hadn’t thought about this, but if you take on a loan 5 years longer you could afford on the same monthly payments a gas guzzling 4×4 nobody wants anyway. Don’t look at the monthly payment, check out the final price and then sweat on the details.

3) Get the first loan you’re offered

Not shopping around is like marrying the first guy/girl that asks you, even though you might be five and he is a drunk on the street. Not a good idea! With online searches nobody has an excuse for not searching for at least five different quotes. It will take you an hour to fill in the forms for a whole lot of loan and finance providers. It is worth your time. That hour of your precious time could be the best paid hour you ever worked as it could save you hundreds of dollars.

4) Don’t even think about your credit history, that’s just a waste of time.

Not worrying about your credit score or history is like not worrying about paying your speeding fines. Might seem like a good idea in the moment but it could end up with you and “Jackie” in a two by two prison cell. If you have bad credit that’s alright in today’s loan crazed world you will still find someone crazy enough to lend you cash. However if you take care of your credit history, your score will be better and your loan will cost you a lot less, besides the fact that it will open a whole lot of options when financing your car loan.