How to improve your chances of getting an Auto Repair Loan with Bad Credit
Are you planning on purchasing a new car soon? Do you need extra funds for a down payment, but concerned that your current credit score might affect your approval odds? Have no fear, because today we will discuss how to improve your chances of getting an auto repair loan with bad credit.
Personal loans are what most people use for an auto repair loan with bad credit. This means that you are given loan rates based on your current credit score. The lower your credit score is, the higher your interest rates will be. Some auto repair loans with bad credit have a minimum credit score requirement, meaning that you must have a specified credit score or higher in order to qualify for an auto repair loan with bad credit. If you can start raising your credit score, you will have a better chance of getting approved for an auto repair loan with bad credit.
The first step to improving your credit score for an auto repair loan with bad credit is to review your credit report and dispute any inaccurate information. You can view your credit report for free from a number of different credit reporting websites, such as CreditKarma.com and Experian.com. Most major banks and credit card companies also offer free credit reporting to their customers. Removing any inaccurate or outdated information from your credit report is very beneficial to your credit score and may help increase your chances of getting approved for an auto repair loan with bad credit.
The next step on improving your credit score for an auto repair loan with bad credit is to pay down your credit cards. Credit utilization makes up about 30% of your credit score, so lowering your credit utilization is key to increasing your credit score for an auto repair loan with bad credit. The lower your credit utilization rate, the higher your credit score will be. A good rule of thumb is to keep your credit utilization below 30%. Paying down your credit card balances is by far the quickest way to get a credit score boost because you are impacting a major factor that determines your credit score.
Another thing you can do to improve your chances for an auto repair loan with bad credit is to request a credit limit increase on your existing lines of credit. If your existing lines of credit are not maxed out and you have not had a credit limit increase recently, you may qualify for a credit limit increase. Keep in mind that some companies may perform a hard pull when reviewing your account for a possible credit limit increase, which can decrease your credit score. It is also not promised that you will receive the credit limit increase that you are requesting.
At 60monthloans, Inc., we require a minimum FICO score of 550 in order to qualify for an auto repair loan with bad credit. 60monthloans, Inc. also offers unsecured personal loans for auto repair loans with bad credit, so no need to worry about putting the car you are trying to purchase up for collateral! Apply for an auto repair loan with bad credit at www.60monthloans.com and enjoy the peace of mind knowing we only do a soft credit check when reviewing your credit score, so you will have no hard inquiry to your credit report! If you are interested to find out if you qualify for an auto repair loan with bad credit, go to www.60monthloans.com and complete an application today!