People with bad or impaired credit history may still be eligible for Second Chance Finance (or bad credit car loans).
Perhaps you forgot to pay off your credit card; had problems with a telephone provider; maybe you missed some repayments; have been bankrupt, or are just unlucky.
Aussie Car Loans believe that all people deserve another chance and we have experienced consultants with specialist training for these circumstances.
With some flexibility and compassion, Aussie Car Loans may be able to provide those with a less-than-perfect credit history a loan to help restore your credit ratings, such as discharged bankrupts or those with special circumstances.
How Does A Bad Credit Loan Work?
Like any secured personal loan, a bad credit loan is secured against the vehicle that you are purchasing.
However, in most cases a 2nd chance loan comes with increased risk to the lender so it is necessary to charge a slightly higher interest rate.
We won't let bad credit hold you back, so we will do everything we can to give you a competitive interest rate that is fixed for the life of your car loan.
Who is eligible for a bad credit loan?
You may be eligible for a loan if you fall into one of the following categories:
- You are a discharged bankrupt*
- You have one or two small paid defaults under $2,000
- You have an unpaid default under $500
- You have an unpaid default under $500 as well as a small paid default under $2,000
* What is a discharged bankrupt?
Declaring bankruptcy can have a considerable impact on your credit history and ability to access finance. Although generally lasting for a three year period, some credit bodies can keep a record of bankruptcy for up to five years or even longer in some scenarios.
If you have been discharged from bankruptcy, Aussie Car Loans may be able to provide you with finance as long as you are not currently subject to, or have been subject to, either a debt agreement or personal insolvency agreement in the past three years.
Rehabilitate Your Credit Rating
If your financial position is in a bit of a slump, don't let it get you down.
A bad credit loan can be the gateway to improving your credit rating and demonstrating that you can be responsible with your money. Paying off your loan on time will improve your credit and show to other lenders that are you are not a high risk. This will help to lower your interest rates and allow you to access larger loans in the future.
Your risk profile may decrease so much that you could refinance your car loan and get a lower interest rate which would be a great outcome.
At Aussie Car Loans, we follow responsible lending practices and would love to help you revitalise your credit rating.
Please contact us if you're unsure or would like more information about whether you're eligible for a second chance. Call 1300 769 999.
Aussie Car Loans have been providing loans for over 25 years. As an Australian owned and operated Company, we aim to understand your requirements and personal circumstances to provide you with a sensible loan solution.