Bryant Motors

Ride with the people you trust!
Serving Sedalia, Boonville, Clinton, Jefferson City, Marshall, Warrensburg and Central Missouri
(800) 886-2701
2901 South Limit Ave. Sedalia, MO 65301
  • Inventory
    • All vehicles
    • New Vehicles
    • Used Vehicles
    • Featured Vehicles
  • Financing
    • Financing Options
    • Vehicle Trade-ins
    • Auto Payment Calculator
  • Specials & Discounts
    • Deals
    • VIP Rewards
    • Concierge
  • Parts & Service
    • Service
    • Parts
    • Tire Center
  • Collision
  • Resources
    • Car Buying Guide
    • Blog
    • Recall Check
  • About
    • Why us?
    • History
    • Local Info & Reviews
  • Reviews
  • Contact
    • Contact
    • Location & Hours
    • Schedule Test Drive

How to Secure a New or Used Car Loan (Even With Bad Credit)

New and used cars sitting on lot

When you have bad or no credit, it can seem impossible to get a car loan. But it isn’t!

Buying a new or used car can be stressful. After all, it’s one of the most expensive purchases you’ll ever make aside from a home. Many first-time car buyers also worry about having less-than-stellar credit when going to make a purchase. Luckily, there are tons of purchasing options available to car buyers in all sorts of credit situations.

Here are some steps can you take to maximize the chances of getting a new or used car loan:

  1. Check your credit score and take action to improve it
  2. Understand how much you can afford to pay each month
  3. Look for a pre-approved loan
  4. Have a cosigner
  5. Ask for a shorter loan period
  6. Seek a private loan
  7. Act quickly once you’ve done your research

1. What’s your credit score?

The most important factor that car dealerships will use to determine your approval or denial for a car loan is your credit score. The higher your credit score, the more likely they’ll approve the loan and the lower your interest rate will be.

It’s important to know what your credit score is and, if it’s poor, research ways that you can work to improve it. Sometimes, your credit report may include an error that is negatively impacting your score, which can be corrected and save you hundreds of dollars in interest payments over the years.

2. How much can you afford?

Before you even step foot on a car lot, you should have a budget. This isn’t a budget of how much you want to spend on a car; rather this is the budget of how much you can afford to spend on a car. This specific budget should be a subset of your larger, overall budget which accounts for your total expenses versus your total income. If you’re consistently spending as much as you earn, you will have to scale back your spending to accommodate for the additional car payment per month.

In addition, consider waiting to save for a larger down payment. The less money you choose to finance, the “safer” the loan is viewed by the particular lending institution. If you finance the full value of a new car, this will come with a much higher interest rate than if you were to finance only half the value of the car and pay for the other half as a down payment in cash.

If you have bad credit and owning a car is not an absolute necessity at the moment, it may make far more economic sense to wait a bit longer until you are able to acquire more cash for a larger down payment.

3. Are you pre-approved?

Once you know your budget, you can begin seeking out pre-approval for a loan. This is basically when a financial institution agrees to loan you a certain amount of money, assuming all of the information that you provided them is true. Car dealerships are more likely to work with you if you’ve been pre-approved for a loan because they know they’ll be getting paid for the car regardless of your credit history.

4. Do you have a cosigner?

When someone wants to buy a car, it isn’t always their fault that they don’t have a credit history. At times, it is simply because the consumer is too young to have ever needed it. Unfortunately, those with very poor credit aren’t trusted by a dealership to make regular monthly payments on time. To assuage their fears, many new or used car buyers will purchase the car with a cosigner. Cosigners are people who agree to make the payments on an asset if the original party fails to do so.

It is usually best to have a family member or a trusted friend co-sign your car loan. A co-signer is someone with an established credit history who can vouch for the consumer with no credit history. In the case of a car, if the buyer fails to make the monthly loan payment, the dealership can legally seek payment from the cosigner. The co-signer is liable for any payments that the purchaser of the vehicle does not make which means that it is imperative that you make your payments in full and on time when someone is generous enough to co-sign a loan for you. Having a co-signer with great credit can also lower the interest rate you pay on a loan.

Be sure that the cosigner is aware of their legal obligation prior to seeking their signature on the car loan.

5. Can you get a shorter loan?

All too often, new and used car buyers look only for the lowest monthly payment possible and fail to account for other factors that may cause them to pay more money in the long term. One way dealerships tend to lower monthly payments is to extend the lifetime of your car loan. This means you will be paying back the loan over more months which lowers your monthly payment but increases the total amount of interest paid on the loan. Attempt to seek as short a loan period as you can afford in order to lower the overall interest rate and save you tons of money over time.

When a lending institution lends out their money, they set your interest rate based on how long it’s going to take to get that money back in addition to your perceived ability to pay it back. To address one of these concerns, car buyers with bad credit can elect the shortest loan period they can reasonably afford. This means the lender will get their money plus interest back sooner meaning they would be more willing to offer a better interest rate.

Pro tip: Use our free auto payment calculator.

6. What about a private loan?

For those with no credit, look into seeking out a private loan. At times, certain banks and credit unions will give out private loans if you have been a loyal customer for a long enough period of time. And while personal loans for someone with no credit history usually come with a higher interest rate, this can be a good way to both purchase a car and establish some form of credit. As your credit builds and you become more trustworthy to lending institutions, you may even be able to refinance your personal loan over time to a far lower interest rate.

7. Are you ready to act?

When you apply for a car loan, the car dealership will do what’s called a “hard credit pull.” This is so they can assess your ability to repay the loan. Unfortunately, your credit score will be lowered if you have too many hard credit pulls in a given year. This is because banks don’t like to see that you are frequently in the market for a big loan.

For this reason, doing your research beforehand is imperative. If you’re going to apply for multiple loans, make sure everything is lined up and do so all within the same two-week period if possible. This is because anything done inside the same two-week time frame is viewed as a single hard credit pull.

Everyone’s credit situation is slightly different. The key is to evaluate your current situation and then develop a strategy that works best for you. Using a combination of some of the techniques listed above, you are well on your way to getting a car loan.

When you’re ready to purchase a new or used car, shop Bryant Motors.
We’ve worked for over 80 years to provide the best car buying experience with the widest selection.

Latest from our Blog

Bryant Motors To Join Forces With W-K Chevrolet Buick GMC

Ram Named “Best Truck Brand” by U.S. News…Yet Again

Tips to Avoid Overpaying for a New or Used Car in 2022

Car Buying Guide

  • 10 Tips for First Time Car Buyers
  • Properly Signing Over Your Used Car Title
  • Repairing vs. Replacing: Out with the Old, In with the New?

Browse Inventory

New vehicles
Used vehicles

Browse by Make

Chrysler
Dodge
Jeep
Ram
Chevrolet
Ford
GMC
Honda

Browse by Price

$10K or Less
$10K - $20K
$20K - $30K
$30K and up

Resources

Car Buying Guide
Blog
Location & Hours
Contact
Recall Check
Bryant Motors
2901 South Limit Ave
Sedalia MO 65301
(800) 886-2701
©2022 All rights Reserved
Website Design by Search Engine Optimization Company SEO Advantage, Inc." • Site info
Fb Tw Blog Cars-RepairPal badge TOP SSL

Full Service Dodge, Chrysler and Jeep Dealership
Serving Sedalia, Warrensburg and Whiteman AFB, Missouri

If you're in the market for a new or used vehicle, we invite you to browse our online showroom or come on down to our dealership and check out our inventory. Bryant Motors has been the premier go-to place for central Missouri's transportation needs for nearly 80 years.

Once you step on the lot or in the showroom, our personable and caring team of auto specialists will show you why we've remained Sedalia's leader for new & used trucks, SUVs, cars and more.

Check Out Our Vehicle Inventory including:

New Cars: Come test drive our Chrysler 200, 300 and Dodge Avenger. The revitalized Dodge Dart provides economical transportation with the handling you'd expect from a sports car. For modern day classics, we recommend Dodge Charger and Challenger. And if you're really in need to speed, the Dodge SRT Viper is in a class all to itself.

New Trucks: Find the best selection of both 2-wheel and 4-wheel drive trucks in central Missouri at Bryant Motors. For best-in-class towing & fuel economy, test drive Motor Trend's Truck of the Year for both 2013 and 2014, Dodge's Ram 1500. For a more heavy-duty truck, we recommend Ram 2500 and 3500 models.

New Minivans: Looking to buy a family car? Check out Dodge Caravan and Chrysler Town & Country. These popular family vans set the standard for minivans.

New SUVs: When it comes to Jeeps, we have the best selection of all Jeep models including Cherokee, Grand Cherokee, Wrangler, Patriot and Compass. Dodge SUVs are one of our best sellers. The Dodge Durango provides both power and room, while Dodge's new crossover, the Journey, seats 7 and is the most affordable crossover-SUV on the market today.

Used Cars & Trucks: looking for a good used vehicle? Bryant Motors' pre-owned department carefully screens each used vehicle to ensure you're getting the dependability you need. Choose from a wide array of makes and models, including many one-owner cars, trucks and SUVs.

Find the latest Dodge Ram, Jeep Wrangler and other exciting models, or browse our extensive inventory of quality new and used automobiles

Our Sedalia-based auto dealership serves the new and used car needs of surrounding communities, including Warrensburg and Jefferson City.

Find top-quality Dodge, Chrysler and Jeep, including the Ram 1500, Wrangler/Grand Cherokee and other models designed for getting the job done or getting through some of the serious farm and rural country Missouri is known for.

Bryant Motors is centrally located to residents of Sedalia and surrounding areas, as well as vacationers heading to Lake of the Ozarks or Osage Beach.

When you visit our showroom at 2901 S. Limit in Sedalia, you will not only find exciting new Dodge, Chrysler and Jeep models. You'll also find the most knowledgeable and friendly sales staff out in all of central Missouri.

Come visit our dealership near: Warrensburg , Whiteman AFB , Jefferson City, Marshall, Clinton, Boonville

Bryant Motors Auto Service & Repair Serving Sedalia, Warrensburg, Whiteman AFB and Jefferson City

Where you purchased your new Dodge Ram, Grand Caravan or used car is irrelevant - Bryant Motors' service department is here to help with all your automotive maintenance and repair needs.

We offer auto repair and maintenance on all models, regardless of where they were manufactured or purchased.

Whether you need a basic oil change , brake services , auto A/C repair , transmission repair or a total engine overhaul, experienced, factory-trained technicians will get you back on the road as fast as possible.


Find Popular New & Used Cars, Trucks and SUVs:

Chrysler: Chrysler 200 Touring, Chrysler 200 Limited, Town & Country, Chrysler 300

Dodge: Dodge Journey

Ram Trucks: Ram 1500 Ram 2500

Jeep: Patriot Latitude, Compass Latitude, Grand Cherokee (Limited, Overland, Summit), Wrangler

Bryant Motors
Central Missouri Best Car Dealership
Serving Customers in Sedalia, Warrensburg, Whiteman Air Force Base, Jefferson City & Surrounding Areas including Marshall, Boonville, and Clinton, MO