Despite having proper local transportation, people want to have their own car. They don't want to wait at the stops. Because of irregular job timings, it became even more necessary to buy a car for them. So what if people have poor credit or damaged credit score? How do they get financial help for buying a new car or for maintenance of the used car? Don't worry because for your benefit, many online money lenders are providing poor credit auto loans.An Overview:
Online poor credit loans are of two types: secured loan and unsecured loans. Poor credit auto loans come under secured loans. You have to place your car or any equivalent asset as collateral to get the loan. After paying off the loan, you will get back your assets. These are generally secured as the vehicle is under the ownership of the money lender until you pay off the loan. In effect, you have placed the car you got financed as collateral.
Schemes available:
Many schemes are available with the online money lenders that can be broadly categorized into Long term and Short term loans. Short term loans are for a period of 3 to 5 years. Interest rates are usually higher than the long term loans. They can go up to 17 to 20 per cent. Long term loans can be as long as for 20 years. But to avail this big repayment tenure, your credit record should reflect some positive light. Interest rates are comparatively low starting from 12 per cent in most areas.
Other advantages of online loans
Online loans are processed quickly. You can get money within 2 to 3 days of applying for the auto loan. You can also use the loan for repairing your poor credit. When you repay the loan properly, you improve on your credit score. You may also get the vehicle refinanced after paying installments to further reduce the installments and interest rates.
If you think you need a car seriously and are holding back the desire due to the poor credit you carry, you need not wait anymore. You can always apply for poor credit auto loans and buy the vehicle of your choice.
Galley Mash is a creative writer and provides information through his articles in many finance related issues. For more information about Car Loans with Instant Credit Approval, Online Car Credit, Car Financing. You can visit http://www.carcreditweb.com
Source:http://www.goarticles.com/cgi-bin/showa.cgi?C=1331270
