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Bad Credit Consumers
There are really three kinds of bad
credit consumers the kind that has bad
credit but is working to pay off their
debts, the kind that has bad credit and
is not working to pay off their debts
and the kind that has bad credit and a
bankruptcy to pay off their debts. In
most cases the bottom two will not
really need to apply for an auto loan as
they probably will not get one, but the
top one has something going for them a
desire to improve.
The first guy is going to get a chance
at an auto loan because although he has
bad credit maybe now he has a job and he
is making his payments on time for his
bills, and he shows a maturity to want
to change where his credit stands. This
guy is probably going to get an auto
loan because the bank will see that he
has the ability to pay and will pay.
He will probably need a down payment,
but for this guy that is probably not a
problem.
The second guy might not. If he is
showing a lot of bad debt and is not
making any attempt to pay any of it off,
no one in their right mind is going to
give this guy a new car loan. Why would
he pay off the auto loan if he isnt
paying the debts that he has now? Even
with a down payment, he is probably
going to be turned down for the auto
loan.
Then there is the guy with the
bankruptcy. Depending on when it was, he
may or may not have a shot at an auto
loan. If it was recent, then no one is
going to help him out. They will think
that he cleared out his credit just so
he could take on more. He is not very
responsible looking. But if since the
bankruptcy he has gotten a job, paid
what bills he has on time, and it has
been a little while he might stand a
chance. Again, he is going to need a
significant down payment on the car
loan, but he might stand a chance of
getting one.
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2010 Archives
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