Bad Credit Auto Loans Seattle
One of the most essential details a lender gathers about you when you’re taking a loan is your credit score. This thing called a “credit score” is a calculated average from the 3 credit agencies. Transunion, Equifax, and Experian. They report things you do that affect your credit both good and bad to a company called Fair Isaac Company. Now shortened to FICO.
A credit score is a compilation of all the credit reports that the plethora of companies you may have dealt with have about you. Yes, lenders share information on credit reports.
That immediately tells lenders you are a low-risk borrower, so your interest rate should reflect that. Having said that, if you took out a car loan. Didn’t pay it back. It was repossessed by the lender. And you have defaulted on credit cards, student loans. Then just like when you made the payment on time and that was reported to FICO. Sadly, so will all the bad things you do too. And when bad things are reported lenders are less likely to lend to you.
If you’re looking for a Bad Credit Auto Loans in Seattle, you are going to pay a higher interest rate
People who have gotten themselves into financial trouble will in most cases have a hard time getting a bad credit auto loan. This is unfortunate as a loan might simply be the thing, they need to get themselves out of their financial turmoil.