Men and women who have had financial struggles in the past may have caused negative effects on their credit scores. This can result in problems getting credit in the future, including for vehicle loans. Fortunately, Used Car Financing in Seattle WA is available for these consumers. Typically, the interest rate is set a bit higher than the norm since this customer is considered a higher risk. Later, this customer may be able to refinance to a lower rate after making regular, timely payments.
Rebuilding the Score
Used Car Financing in Seattle WA is helpful for rebuilding a credit rating that has gone down below the good level. The company providing the loan reports on the timely payments to the credit bureaus, which gradually start to raise the score. It may be possible for a consumer to get a loan even if the current credit rating is in the poor range, especially if the number is borderline fair.
Factors That Credit Bureaus Consider
The three credit bureaus look at several factors when calculating a person’s credit score. The main factors are the number of open accounts, how much available credit the person is using, and whether all payments are made on time. A less consequential factor is the number of credit inquiries in recent months, indicating how often this consumer is attempting to acquire more credit. High balances can significantly lower the rating, as do late payments.
Tracking the Number
A consumer who keeps track of the rating may find it changing weekly or even more frequently, depending on how many accounts are open. Tracking the credit history can be motivating and rewarding as this person makes payments on time and watches the score increase.
Important Advantages
The chance to finance a used vehicle through a dealership such as First National Fleet & Lease has important advantages. The consumer now is able to buy a reliable car, gaining more freedom to travel and take on additional activities and responsibilities. Making monthly car payments gradually boosts the credit score as long as this individual keeps up with all other obligations reported to credit bureaus as well.
