What Are Some Options for Buying a Car With Bad Credit?

What Are Some Options for Buying a Car With Bad Credit?

Options for buying a car with bad credit include auto financing from employers or insurance companies, financing options from dealers, auto loans for low income borrowers and loans from credit unions. Buyers with bad credit may also want to opt for lower priced cars, as lenders are more likely to approve loans for these, according to CBS News.

Customers with bad credit can increase their chances of getting approved for a car loan by showing up prepared. Bringing documents such as pay stubs, bills and references can help show lenders that there is less risk involved in granting the loan, according to Edmunds, a car comparison website. Providing proof of paid debts can also be useful.