Obtain a Credit Score

To determine if a consumer is eligible for a credit card, he or she must first obtain a credit score or credit report. The outline of one’s credit history and numerical rating will let the person know where he or she stands in the credit world. Knowing the score can also prevent the person from applying for credit cards that are not within the lender’s requirements.

To obtain a free credit score or report, one can apply with the credit bureaus. Credit bureaus will issue one credit report per year to a person who has received a previous rejection. Unemployed consumers may also apply for this score. Once the person is able to see his or her profile, the individual can make a wiser decision applying for credit cards.

The Secured Card

The secured credit card can provide an easy entry into the realm of credit for a consumer. This type of card allows the applicant to place a security deposit on the card. The credit card company will usually assign the person a credit line that is equal to the amount of the deposit. The company keeps the deposit until it feels secure with the debtor’s payments. After time, the credit card company will release the funds and allow the person access to unsecured credit.

The Bad Credit Card

Another option for consumers is applying for credit cards that are strictly for people with bad credit much like how you would apply for a car loan specific for people with bad credit. Credit cards for people with bad credit work the same way as regular credit cards. The difference with these cards is the finance charge. Some bad credit cards have finance charges in the area of 30 percent, while some others have more affordable offerings.

While the bad credit card is expensive option, it still provides the consumer with a viable entry into the credit world. To apply for any credit card, the consumer will visit the credit card company’s website. The site will have a page on which the person may complete an application. Generally, most credit card companies can provide an instant decision.

Late Payments and Public Record Debts

It depends on what sort of negatives show up on that report. Problems that are older will hurt you much less than if they’re recent, even if they still show up. The general rule is that things such as late payments will stay on there for 7 years, as will collection debts, though this can change depending on the age of the debt that’s being collected. So long as you keep your payments current in the recent past, these older debts will actually do you little harm.

Public record debts such as unpaid taxes also stay on a report for 7 years on average, but be warned that if you’ve been subject to a tax lien or garnished wages due to these debts, those can remain on your report indefinitely.

Declaring Bankruptcy and Property Foreclosure

If you’ve had something more serious on your record, such as a bankruptcy or a property foreclosure, they’ll deliver more damage than these other debts, even if they happened several years ago. Foreclosures stay on your record for 7 years, as do completed chapter 13 bankruptcies. If you’ve had to go through a chapter 7 bankruptcy however, then that will remain on your record for 10 years.

So, to review…

• Late Payments-7 years
• Debt Collections-Usually 7 Years, depending on the age of the debt
• Public Record Debts-Usually 7 Years, except when liens or garnishments take place
• Foreclosure-7 years
• Bankcruptcy-7 years for Chapter 13, and 10 years for Chapter 7

And remember that if you pay your bills on time, even if you’ve had some problems in the past, these negatives will cause less damage to your credit score, and in time they’ll disappear completely, giving you the chance to get the financing from our used car lot so that you can get the car of your dreams.

First Time Buyer

You might be a first time buyer with terrible credit looking for a way to improve your credit score. We have helped customers who have had credit problems get qualified for an auto loan for people with bad credit. So don’t feel that because your credit is low, that you won’t be qualified for a car throughout the Southern area of Ontario. Furthermore, if you need credit acceptance from a dealership then I recommend that you go to a bad credit car dealer that has experience in helping people with credit problems.

Visit a Bad Credit Car Dealership

When going after auto credit approval, you need to do your research on what type of make and model you would like to purchase, after being approved for an auto loan with bad credit throughout Ontario. Now, since you have bad credit, your best option would be to visit a used car dealership. There you’ll find cars that are in good condition and that you can afford. However, if you’re looking to get a newer model, you might have to put a down payment on the vehicle before getting approved for a car loan. Now if you don’t have a down payment, then go towards getting a cosigner.

Just know if you’re thinking of buying a used car, be sure to get it inspected to make sure that everything works properly. By getting it checked out by a mechanic expert, they might find something that the dealer forgot to mention when selling you the vehicle. If that happens, try negotiating with the dealer.

Apply for Credit Acceptance

Our car credit in Ontario is available to anyone looking for a credit acceptance through a bad credit dealership around the Southern area of Ontario. Just apply online today and we’ll help you get qualified for an auto loan with the credit you have at this moment.

Understand the Type of Error

If you have made any late payments on credit cards, then these will stay listed on your credit report for a total of seven years. You may take some action to try to get the items taken off before seven years have run out. Some people have success when they send a letter of dispute to a credit card company and make a formal request that the late payments be taken off of a credit report. If you have filed for bankruptcy or have experienced a foreclosure, then these events will also be listed on your credit report for seven years. It is very difficult to have a bankruptcy or foreclosure taken off of your credit report.

Deal with the Error

If there have been any judgments filed against you, then these will also be listed on your credit report for up to seven years. It is important that you try to deal with any negative events listed on your credit report. If you offer to make a full payment on the balance for a credit card, then you may be able to have a negative event taken off of your credit report.

Choosing to deal with loans for bad credit will help you improve your credit score for the future. You may be able to increase your credit score and qualify for a loan that has great terms.

Comparing Auto Loan Quotes

There are actually many dealerships that now extend auto loans to people who have bad credit and we are the top one in Southern Ontario. You should know that you may be able to qualify for an auto loan within just a few hours of submitting your pre-approval application. It can be very easy for you to sign up for a bad credit car loan. You should make sure that you take the time to compare all of the auto loan deals that are on the Internet. There may be auto loans that have lower interest rates than other auto loans on the market. Our auto loan professionals can help you make a decision in finding an auto loan.

You May Need a Cosigner

Some dealerships may require that you have a cosigner in order to sign up for a new auto loan. You should be prepared to find a cosigner if a dealership requires one. Your other option may be to forego this type of auto loan and keep searching for one that will not require a cosigner. Our auto loan professionals can help you locate loan options that will not require cosigners or collateral.

Get in touch with our auto loan professionals to receive help in finding adverse credit auto loans today. We are here to help make the process easy for you. You may be able to qualify for auto loans in just a few short hours.

1. Request a free copy of your credit report.

You should first request a free copy of your credit report from one of the three major credit bureaus. After you receive your credit report copy, you should carefully review the document. It is also possible to request a free copy of your credit report online to ensure that you receive instant access to your credit report.

2. Remove any negative citations on your credit report.

As you review your credit report, you may notice that there are negative events listed on it. You should make a list of every negative citation that is on your report. Next, you should make it a priority to try to have these negative citations removed from your credit report. If there are any errors on your report, then you should contact the company and make it aware of the error. The company will have a duty to fix the error so that it is taken off of your credit report. In other instances, a credit card company or other type of company may be willing to remove a delinquent notice on your credit report through a written request.

3. Continue to make payments on your credit cards.

Continuing to make payments on your credit cards will ensure that your credit score stays high and make it easier to be approved for auto loan financing. You should try to continue to make payments so that you can improve your credit score and make it more attractive for lenders.

• Prevent you from getting approved in the first place
• Leave you stuck with a high interest rate
• Make it difficult for you to get approved

All About Charge Offs

What many people do not realize is that there are things called “charge offs” that can show up on a person’s credit report after failing to make payments on a loan for an extended period of time. A charge off is essentially a claim from a lender or creditor that they no longer believe, based on your payment history or lack thereof, that the debt will be paid off by the borrower.

A charge off can have a number of negative consequences for your credit. Mainly, having one of these on your credit report can drop your score significantly, this affecting your potential car loan finances in the future.

What to Do

If you have a charge off on your credit report, you may be under the assumption that it will go away after a certain period of time. Unfortunately, this is far from the truth. Charge offs, if nothing is done about them, will remain on your report forever. Thankfully, if you have them on your report and want to get rid of them so as to improve your credit score, the good news is that you can always hire a debt consolidation expert to assist you in having them removed.

What is Debt Consolidation?

A debt consolidation loan is essentially one large loan that is taken out in order to pay off all other smaller loans such as open vehicle loans in one payment. Those who take out debt consolidation loans often do so because they have trouble keeping up with the interest payments and various due dates of the many different loans and debts that they owed.

The debt consolidation loan that a person takes out has one solid interest rate and one monthly due date, which can save a person a great deal of money over time when it comes to interest. The single due date can also help the borrower to ensure that they do not miss a payment again.

Other Benefits to Debt Consolidation

Of course, there are a number of other great benefits to debt consolidation as well. Some of these include:

• The ability to pay off all of one’s major debts at once
• Having a more manageable monthly payment
• An increase in one’s credit score when debt consolidation loans are paid off

So if you have found yourself in a situation where you are overwhelmed by all of the various bad credit used car loan debts that you carry, then it may be time to look into the option of taking out a debt consolidation loan. In order to do so, you should begin by exploring the various lenders that are out there; be sure to compare interest rates that they have available and determine which loan will be the best option for you in the long run. From there, you can be sure to make a great decision.

• Paying off debt
• Catching up on missed payments
• Paying creditors on time

Why Should I Repair My Credit Score?

No matter how much money you have in the bank, you probably don’t have enough to make a larger or more expensive purchase. Do you have the funds available to buy a home or get vehicle auto finance? Dealerships either have an in-house financing company or work with another financing company. You make a down payment on a car, and the company agrees to loan you the rest. A lower interest rate means you’ll pay back less in interest as you pay off your car, while a higher interest rate can leave you paying thousands in interest. By repairing your credit, you can get that lower interest rate.

How Do I Repair My Credit?

Start repairing your credit by sitting down with your bills and a copy of your credit report, or even take out bad credit auto financing. Determine which debts have the highest interest rates, and look for ways to pay off that debt. Even if you can only send an extra $10 to $20 every month, you can work on lowering that debt. This also increases your debt to credit ratio, which shows others that you are a responsible consumer.

The next step involves bringing your bills up to date. Many utility companies now report your accounts to the credit reporting agencies, and being even one month behind on your cable bill can lower your credit report. Those with the best credit scores are those who consistently pay their bills on time. Repair your credit score by making any past due payments and bringing your accounts up to date.

If you decide to buy a new or used car in the next few years, you’ll likely find that your credit score affects your available options. When you apply for financing, the lender looks at your score and your history to determine if you’re a good candidate for a loan. With a poor credit history, you might not have access to the car you want. A few things that you can do now to get back on track include:

• Lower your overall debt
• Pay your bills on time
• Look at your credit report

Make Back Payments

Every time you skip a payment, your creditor contacts the credit reporting agencies. These transactions can stay on your credit report for years, but you can get back on track by paying those missed payments. After looking at your credit report, contact each creditor about any payments you missed in the past. Once you make those payments, the creditor might agree to remove those transactions from your report.

Work with a Counselor

If you aren’t sure where to start, call on a counselor for help. A credit counselor can help you go over your bills and find ways to improve your credit score. Some counselors can even work out a payment plan with your creditors to pay off higher bills faster. The sooner you start lowering your debts, the sooner you’ll see an improvement in your score.

From new homes to used cars, almost everything you buy involves credit. Repairing your credit score will help you get lower rates when applying for loans. Improve your score by working with a credit counselor and paying back missed payments.