Bad Credit Car Loans with No Money Down

People with bad credit often find it challenging to get a car loan with no money down. There are finance companies that will loan money to people with bad credit without money down; for example: AmeriCredit, Capital One, Condor Capital, Onyx, Tidewater, Well Fargo, WFS. Most of these finance companies only offer financing through local dealers, in most cases they do not lend directly to consumers.

Consumers with a vehicle to trade in, regardless of its worth, will have more options available to them. Experienced dealership finance managers can often manipulate the trade in value to meet a lenders minimum down payment requirement. For example, you have a trade in that is only worth $500 and you wish to purchase a car that has a $15,000 price tag. The dealer finds a lender that will approve the loan but the lender requires a 10% down payment. The dealer can manipulate the numbers to satisfy the lender’s requirement and sell you the car for $16,200 and give you $1,700 for your trade.

In the example above the net price would be the same. $15,000 - $500 = $14,500 and $16,200 - $1,600 = $14,500. Most states tax the consumer on the difference between the sales price and the trade value, so there would not be an additional tax burden on the consumer by structuring the deal this way. On the other hand, consumers in states like Michigan would have an additional tax burden. Michigan taxes the consumer on the price of the vehicle so the consumer would have to pay additional tax on $1,200.

Click on Car Loans with No Money Down to get approved today.