Car Loans With Bad Credit - Dealership List

With car prices averaging $28,000 and more for a new vehicle and averaging $15,000 for a used automobile, most consumers need financing or leasing to acquire a vehicle. In some cases, buyers use direct lending in which they obtain a car loan directly from a finance company, bank or credit union. In direct lending, the buyer agrees to pay the amount financed, plus a finance charge. This loan is to be repaid, usually on a monthly basis over a period of time. Once the buyer and the car dealership enter into a automobile purchasing contract to acquire a vehicle, the buyer then uses the loan proceeds from the direct lender to pay the dealership for his or her automobile. For your convenience, we have listed some brokers and companies that can help with getting you approved directly with a lender that finances cars with bad credit.

Another common type of car financing is dealership financing. This type of arrangement allows a buyer and a dealership to enter into a contract where the buyer agrees to pay the amount financed, plus a agreed-upon finance charge, on installment payments. The dealership may retain the contract, but usually sells it to a bank, finance company or credit union, which services the account and collects the payments. For the vehicle buyer, dealership financing offer benefits such as convenience because the dealer can offer the buyer a vehicle and financing in one place. Dealerships that offer financing usually have multiple relationships with lenders that can offer loans for various credit types, both good and bad. These multiple lenders can also offer buyers a range of financing options which may include a extended repayment program to help lower your monthly payments.

Tip: The additional debt load (car loan) should not cut into the amount you set aside each month that is used towards saving for emergencies or life goals. Most importantly, you should never take on additional debt when you are spending more each month than you take home. Your take home pay should never include overtime when you are calculating how much you can afford to spend on monthly payments. Overtime may not always be available during the entire term of your loan.

Car Dealerships That Offer Bad Credit Loans By State

Below we have compiled a state by state listing of car dealerships that offer bad credit financing for auto loans. Find the appropriate state below to find out if there is a local lender in your area.

Washington DC/Florida/Georgia/Hawaii
Maine/Maryland/ Massachusetts/Michigan
Nevada/ New Hampshire/New Jersey/New Mexico
New York/North Carolina/Ohio/Oklahoma
Oregon/Pennsylvania/South Carolina/Tennessee
West Virginia/ Wisconsin

Under certain circumstances, the lender or dealership may require the buyer to have a co-signer on the financing contract to make up for any deficiencies in your credit history. This co-signer will assume equal responsibility for the contract, and the account history will be reflected on the co-signer’s credit history, along with buyers. For this reason, you should exercise caution when asking a friend or relative to co-sign for you. Since the co-signer will have to repay the obligation if the buyer defaults, be sure you can afford the monthly payments before asking someone to co-sign on a car loan.

Further information on repairing bad credit and finding loans and credit cards with less than perfect credit in eight different countries can be found by visiting our main site at Consumer Bad Credit Guide

The above information was written in good faith but we cannot guarantee accuracy. If you wish to add a car title lender or feel we have a inaccuracy in our information, please email us at