Being unemployed and looking for financing a new car is an uphill struggle. At the same time finding a company to finance and processing the application seems an impossible target as it is highly understood that you fall in the category of high risk. But this doesn’t mean that being unemployed you are totally ruled out. There are lenders who help in financing cars loans for unemployed but certain factors have to be considered.
Most dealers approve the application for a car loans for the unemployed if there is an alternate source of income supposedly social security, retired pension, deposit interest, disability income, alimony, etc. Instant approval is granted to borrowers with excellent past debt repayment records and with good credit score. Residential stability for the past one year also plays an important role. Demonstration of the ability to pay a huge down payment also approves car loans when unemployed. Providing a co-signer with excellent credit reputation who can guarantee loan repayments on behalf of the loan seeker helps a lot. Heading for a car loan when unemployed it is advisable to select an inexpensive or preferably a used car as it may require borrowing less money. In case of a bad credit history it is important to improve the credit rating a few months before opting for car loan. You Should Know More..!
If the lenders agree to grant loan in case of unemployment majority of them charges heavy rates of interest to compensate the risk. For qualifying an affordable rate of interest for unemployed car finance, a handsome credit score is a must. In such cases options open up for secured loans where collateral in the form of a house, home equity or savings in checking account are provided against the loan amount. Options also open up for an unsecured loan by pledging the car as security against the loan.
It is easier to get car finance online for unemployed person in short time. It takes seconds to fill and submit online application form. After the submission a local finance advisor having a keen knowledge of the scenario guides the borrower in the navigation process helping in securing a free quote and comparing them with the several proposals available online.
For further information on unemployed auto finance loan, one can log on to car-loans-quick.com