Bad credit should not be the end of the world for you, some people think once they have bad credit they cannot get loans or get any kind of financial assistance. This may be true with banks and some other financial institutions as they will carry out credit checks for people who apply for loans. As a result of this most person who has bad credit might or cannot get a loan from banks or other financial institutions.
Bad credit car loans are a kind of loan that offers people the opportunity to get cash advance for the sole purpose of purchasing their car.
Can I Apply for a Bad Credit Loan if I Don’t Have a Job?
The answer to this common question is a Yes! You can apply for bad credit car loans. However, you might not be able to get as much cash loans as you want because having a job will increase your chances and will also help you to get a higher loan amount. Hence, if you have a job, it will be an added advantage for you when you apply for a bad credit car loan. Without a job, you must be able to demonstrate to your lender that you have another source of income with which you can repay the loan. Most times auto loans are repaid monthly and as a result of this, you should have a steady source of income to get a bad credit loan.
Your source of income might be through social security, annuity, pensions, retirement benefits, or other sources of income. The most important part that the lender wants to see in assessing you whether you qualify for a car loan is to make sure you have a steady source of income either through paid employment or businesses or other sources as earlier highlighted. As a result of this, you will need to provide all information showing your source of income or pay slip when you apply for a car loan.
Apply for A Bad Credit Car Loan
To apply for a car loan you need the following;
- Proof of Income: You need to show your lender proof of income. This will portray you as having the ability to repay the loan.
- Proof of Residence: Your proof of residence carries information about where you reside. Your lender will want to have an idea of where you reside. Your proof of residence can be a utility bill for your home.
- Proof of ID: This is to serve as a form of identity. You can use a government ID or your driver’s license for this.
- Proof of Insurance
- Age Declaration: You must show that you are above the age of 18 when you apply for a car loan.
How it Works
The first thing to do when you want to apply for a car loan is to visit the website of your lender, fill the online application. Provide required documents like proof of income, Proof of residence, and a means of identification among others.
Your lender will then request for credit information to authorize them to run your credit. You will be required to provide a couple of references as well, with the full names and addresses of these references stated.