If you are looking to buy a car with bad credit, there are some things you will need to know. One of the toughest challenges you will have to face because of your bad credit is companies trying to get as much money out from you as possible just because they know you don't have a lot of options or choices. They will see you as desperate people and because of that, you will be their perfect prey. Of course, not all people are like that. Some people want to honestly help you to the best of their ability. Before you walk into a dealership though, the most important thing you can do is come prepared. This article will discuss some of the things you need to consider and watch out for when trying to buy a car with less than perfect credit.

As you may know, when you have bad credit, there are a lot of limits when it comes to trying to get the best deals that are out there. One thing you can do is to have someone else apply for the loan for you. Now, keep in mind that this can be a good decision but it can also be the worst decision you will ever make. The fact is that when it comes to money, even family bonds can break. There are countless of people who have had their relationships destroyed from asking someone else to co-sign with them in order to get a better deal. Just know that when you ask someone to do this for you, even if that person is your brother or sister, it puts a lot of pressure on them because they may want to say no but will give in just because they don't want to disappoint you. If you can pay everything off, then all is good, but when things go wrong such as a job loss, things can turn very sour. Just make sure you think it through before going this route.

If you have decided to go in this alone, the first thing you need to do is go to myfico.com and find out what type of interest rate you can expect to get for your type of credit. With this knowledge in mind, you will at least know if the loan officer is being fair or not. Many times, they will add onto the interest rate, several points hiring than what the banks are charging so that they can pocket the different. Although this is normal, some people will outright take advantage of you if you don't at least know what to expect.

I recently went to a car dealership with an uncle but only to drive back his old car while he drives his new one home. After getting home, I happened to check over his documents and found that he was being charged close to 28%. I knew he had bad credit but that was just ridiculous. We ended up calling the dealership back and after some negotiation, we were able to drop it down significantly. Without knowing what to expect, you will have a good chance of having someone pull a fast one on you.

The last tip is to always have everything in writing. Never take the dealerships word for anything. They can tell you this and that and it'll all sound wonderful and great but until you get all of those "hook ups" down in writing, consider it worthless. The loan officers have been known to say one thing but when it came down to it, the documents you sign will say another. Make sure you take the time to read the contract and deal agreements before you sign. Just because you want to buy a car with bad credit and are limited to what type of deal you can get, it doesn't mean you should be scammed out of your money. If you want to learn more about what to do when trying to buy a care with bad credit, you can go to check out the consumer affair's website where you will find out a lot more information.