The thing that works best according to experienced customers for people who are looking for finance a car with no credit and no cosigner are old or used cars. It is said that people who have no credit record
of any kind and to top it do not have any cosigner need to go around
the offices of a lot of lenders. There is a fair chance that only one
of fifteen such lenders will accept their applications. The main reason
for that is there is no proper proof that such a borrower will be able
to pay back the loan on time.
Yet another disadvantage of a car loan with no credit and no cosigner is that the loan rates are very high and could be cumbersome
for borrowers who are in perilous financial condition. With a new car
the borrower might end up paying almost twice for what the car is worth
in actuality. They would also not be able to recover that money later
on by selling the car. With a used car the problem will not be there. A
way to avoid this scenario is to pay for the car in cash but
realistically that is possible only for a select few.
Car loan no credit no cosigner can really be hard on
college students. People who have previously taken these loans say that
the rates for these loans are never going to be below a certain level.
So it is better to not take these loans in the first place. Payment of
cash seems to be the best way to get good terms and conditions on the
loan. In other words, a lot of savings is needed to make the necessary
down payment. The reason lenders ask for co-signers in case of people
with poor or no credit records is that in case they are unable to make
the necessary payments the co-signers will be able to do it for them.
Cosigners can be chosen from family members, close friends, or even
relatives. In case of more information on these loans please look up
CarLoansSoFast.com
It is true that lender may not get any idea of such a borrower who does not have any credit history. Therefore it is very hard to get auto loan without having any credit history. To get rid of such type of problems it is recommended to save enough money for down payment to get good terms and conditions on loan. You have nicely described the disadvantages of getting car loans without any credit history. Thanks for your post.
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