How Does Financing a Car with Bad Credit Work?

Car key & credit card on a signed contract
Thinking of buying or leasing a used or new car, but have credit that’s less than great? Perhaps you’re financing a car for the first time but have no established credit? Wondering how financing a car with bad credit works? It’s a more difficult process than it would be if you had existing credit, but it’s definitely possible to finance a car with bad credit in the greater Grand Island area! Find out more about how bad credit car financing works with Midway Auto Dealerships before reaching out to our finance experts for loan options.

 

 

Bad Credit Car Finance Advice

If you’re attempting to finance a car with no credit history, it’s important to remember that the down payment may be more than the average and the interest rates may be higher. Approach the process with a defined budget and leave some breathing room for unexpected costs. You’d also do well to keep the following financing tips in mind:

  • Don’t Automatically Assume You Won’t Be Approved: Holdrege shoppers like you might be convinced that only certain financing options are available because your credit needs a little work. There are some financing institutions that are more than sympathetic to your case. Make sure to ask questions and explore all your alternatives – you may find there’s a financing option in the Hastings area that benefits you better.
  • Improve Your Credit Score As Much As Possible: Have bad credit? Build it up as much as you can! Construct a payment plan, start paying off any outstanding debts, and use your credit card on minor purchases that you can immediately payback. This will improve your credit score quickly!
  • Apply for Loans the Smart Way: If you’re applying for financing, your credit score can take a hit. Submit all of your loan applications within a 2 week period of time to limit the potential damage to your credit.
  • Don’t Settle for Just Any Offer: Your first offer isn’t necessarily your only offer. Just because your credit isn’t the best doesn’t mean you have to accept the first offer you receive. Many dealerships near Lexington use multiple lenders, so if you think there’s a good chance you could get a better offer, go for it!
  • Be Prepared for Higher Costs: You may have to place a larger down payment and have higher interest rates on a loan if you have no credit history or bad credit history.

Bad Credit Car Financing? Not a Problem at Midway Auto Dealerships!

Here at Midway Auto Dealerships, our finance team understands that financing a car with bad credit can be a hassle, so we streamline the bad credit car finance process to make it as simple as possible. Contact us to apply for financing online, explore your leasing options, and decide whether or not you should buy or lease your next car, truck, or SUV in Kearney.

 

More from Midway Auto Dealerships

  • 2025 Wrangler 4xe Trim Levels

    Ready for a great new vehicle that fosters your sense of adventure and saves fuel on every drive in Grand Island? We’d like to introduce you to the five 2025 Jeep Wrangler 4xe trim levels! All of them have a powerful engine, a comfortable cabin, and great towing capabilities. Read more details about the Jeep Wrangler…

  • 2025 Jeep Wrangler 4xe Performance

    The 2025 Jeep Wrangler 4xe continues the automaker’s push for making fuel-efficient and powerful new vehicles. When you want better fuel economy in Grand Island while maintaining the off-roading chops far from Hastings, the 2025 Jeep Wrangler 4xe specs can foster better drives anywhere you go. It starts with the Jeep Wrangler 4xe engine, which is…

  • 2025 Chevy Silverado 1500 Trim Levels

    Grand Island drivers searching for their next powerful, reliable pickup truck often turn to the popular Chevrolet Silverado 1500. A light-duty truck capable of exceptional performance, the 2025 Chevy Silverado 1500 ensures you have all the engine power, off-road features, and comfort amenities you need to tackle even the toughest jobs around Hastings. Learn more about…

Midway Auto Dealerships 40.6795429, -99.0833028.