Advice for getting a new car with bad credit?

What are some steps i need to take to purchase a used car i need a new car but my credit is shot any advice would be great!


(besides the obvious of saving up for a big down payment)


is financing a bad idea?Advice for getting a new car with bad credit?
A co-signer would help somewhat and as for the rest...





Whether you buy a used car from a dealer, a co-worker, or a neighbor, follow these tips to learn as much as you can about the car:





Examine the car yourself using an inspection checklist. You can find a checklist in many of the magazine articles, books and Internet sites that deal with buying a used car.





Test drive the car under varied road conditions - on hills, highways, and in stop-and-go traffic.





Ask for the car's maintenance record. If the owner doesn't have copies, contact the dealership or repair shop where most of the work was done. They may share their files with you.





Talk to the previous owner, especially if the present owner is unfamiliar with the car's history.





Have the car inspected by a mechanic you hire.





You can find out a used car's history, which is a must if you're buying a used car that is not certified, by logging on to www.carfax.com.Advice for getting a new car with bad credit?
Getting a co-signer would probably be your best bet unless you want to get slapped on with a sky high interest rate. See what the dealership is willing to offer you first and then shop around to see if you can find other financial institutions who are willing to offer you a lower interest rate.
The truth?





Don't do it. Your narcissistic desire for a new car is what got you in this position. Get your credit cleaned up and learn to manage money a little better. Go ahead and drive a used car, it won't kill you.





You're going to pay ridiculously high interest rates for up to five years, wind up paying at least five times what the car would cost you cash, and here's the part that really sucks - these payments will OWN you.





Buy something small, like a $500 stereo, on credit, use 6 or 8 such small purchases over the next 3 years to rebuild your credit score.
You're looking at using a sub-prime or secondary finance comany to carry your loan. Most dealerships have access to them, and the large ones have the best chance to get your app approved (volume).





But you will have to follow some rules to get it (you're considered high-risk, and can't just get whatever you want). The car can only be few years old, only so many miles, only have a price cap. A general example would be 04 or newer with less than 50,000 miles for under $10,000. Doesn't give you much to play with...a typical sub-prime car is a base model Malibu, Grand Am, or Taurus (nothing exciting)





You will also need to provide Proof of Income, Proof of Residence, Proof of Insurance, 10-20% Down Payment...and you may need to wait a few days before you can take the car home while everything processes.





Another option is the Buy-Here-Pay-Here lot...kinda seedy, so-so quality cars, phone-book sized applications, sometimes weekly payments, huge down payments (sometimes 50-75% of the wholesale value of the car), quick repos (some will repo after only 1 late payment)...but you will get a car. They don't use banks and some don't even check credit reports, so they kinda have a large amount of leverage against you...but sometimes it is the only option.