How to get a loan with a bad credit score
Owning a bike give a feeling of comfort to easily commute from one place to another, especially in big metro cities where traffic is a nightmare. So two-wheeler is a necessity in case you want to travel conveniently. A lot of times people are unable to give full-payment for the bike due to financial constraints, in a situation like this taking a loan, is the best option. With a good credit score, it is not difficult to find a lender to finance the motorbike, but what if you have a bad credit score and buying a bike is like a necessity for you?
What to do if you have a bad credit score?
- Find the right lender- Most of the financial institutions consider the credit score to be the main criteria for giving a loan. Getting bad credit motorbike finance can be difficult but not impossible as a lot of new lenders look at the other factors for giving a loan other than the credit score. Look for a lender who does not consider the credit score, for this you need to do a lot of research.
- Negotiate with the lender- A bad credit score is due to default payments over the years, affecting the credit score now even though you might be employed with a stable income. So try and convince the lender and the motorcycle dealer that you will pay back the loan and they might just approve your loan but at a higher interest rate.
- Pay more on down payment- You can pay more on down payment, this way you need to repay less so the lender might just approve your loan.
Getting a loan on bad credit is tough but of you follow the right way then you can get a loan and also can improve your credit score.