Divorce does not have to be a catalyst for landing an ex-couple’s credit scores in the toilet. Yes, it can seem overwhelming but our skilled Finance Team Managers Rapid Discrete Financing can help you secure low rate financing even if you are low on funds and need to buy a good safe car.
Even for those with severely damaged credit or no credit, period, all hope is not lost, says Jim Gilbert. Even if your credit is wrecked in the divorce, you still have options for financing a car,” says Jim” People with damaged credit or no credit will get the benefit of doubt with Rapid Pre-Approval at Wheels and Deals auto financing.”
In a divorce, any joint debt held by both spouses continues to be reported on both credit reports until the note is retired or one party’s name is removed from the contract, “says Jim ” If you still have a joint auto loan on the vehicle your ex is keeping and supposed to be paying, that car payment affects your credit score and could affect your lender’s evaluation of your ability to take on another car payment,” he explains.
Consider working with your ex to remove your name from any outstanding debt, and the title to any vehicle you are attached to but no longer own. This will protect your credit score from your ex’s late or missed payments in the future. Any negative history will impact your credit score for up to seven years. But if you understand the details of your credit history . Our properly trained financial services managers, can pull and review your credit history with you and be able to make a stronger case for your qualifications as a borrower.
If you face a low credit score and an unreliable recent income history, it’s time to get down to business. Here’s a plan of attack for landing an auto loan with affordable terms:
Jim says try us first Rapid Discrete Pre-Approvals and give us the day to work for you and get you financed because in the event you shop multiple dealers, each will create an inquiry on your credit report, which can impact your score.
Be a Loyal Customer
“Wheels and Deals can get you the lowest rate because it is less expensive for us sell to a loyal customer than to find a new one. Plus the banks love our high sales volumes which also lower your interest rates. You are a winner at Wheels and Deals.
Prove Your Income
Credit history aside, surprisingly most of the time our Finance Team at Wheels and Deals Rapid Discrete Financing can have your income verification waived. Jim says. In nearly every divorce, each person’s income is lower than when they were a married couple. So this works in your favour to..
That said, income is income, and if you now receive spousal or child support, or recently landed a part-time job, the lender must consider it all equally.
Tell Your Story
Electronically generated credit scores are not the only factor in lending decisions. Humans have a say, too. “Tell us your story of what happened,” Jim says. “Let us help prove that you have always been responsible and explain your recent change in credit history, that can go a long way.” Ps (We know what works)
By showing your credit and income history; records of consistent, on-time payments; and bank and loan documents proving a stable work history, it is easier to prove that your recent change in family status is indeed a temporary challenge.
Consider a Co-Signer
A solid last resort is to find a credit-worthy co-signer who is willing to help out. This person should have a stable history of credit, income and residence, as well as proof of the ability to cover the loan in the event you lapse. Immediate relatives — especially those who live nearby — are the most attractive to lenders, Jones says.
Do Not Despair
In most cases, people with no credit or poor credit do find reasonable financing for a car at Canada’s Huggable Car Dealer ( Lenders love us and our customers) . If you need to accept a loan with a high interest rate, you can always refinance or buy another vehicle under better terms in a few years when you are back on your feet and your credit has improved.
“I’ve seen people go from qualifying for terms of 16 percent APR to 4 percent APR in two years,” Jim says. Again, sticking with us, Wheels and Deals during this transition period can better your chances of graduating into more attractive terms.
And remember: The negative impact of divorce, like most things in life, does not have to last forever. In fact, the Credit.com survey found that 37 percent of respondents saw their credit score improve post-divorce.