Can i get a car loan with low interest if i have bad credit and if so where?
Bad credit score means high risk to the lender, but if you have collateral, the lender’s risk can be reduced because if any time you default the car loan, the lender can take access of your collateral. That’s why it is easy to obtain a secured loan with bad credit. Depending on the collateral’s value, you may be approved a loan with amount up to 85% of the collateral value. However, you should not apply up to the maximum of the allowable loan amount if you do not need that much money to resolve current financial issue. Always remember whatever you have borrowed, you need to pay back with interest, which means the more you borrow the more interest you need to pay. And, if you can’t pay, you will hurt your credit score and making it even worst. In additional to that, defaulting your loan will cause you lose your asset which you use as collateral to secure the loan.
