Guaranteed Car Loan

Approval for Guaranteed Car Loan – Is It for Real Or Just A Hype?

Before you start reading this article, let us be clear on one point that there is nothing like guaranteed car loan which exists.

To start -a small story to think about..

It was in 1998 when I was in a showroom of a famous dealer in Jacksonville in Florida. I saw a old man getting down from a cab and coming into the showroom. All he said was that he wants to fill an application of loan to get an approval for a car loan. It was strange that all he needed was a credit application and he didn’t bother about which car.

Being a good dealer, I gave him the credit application he asked for. After filling, he asked me to check for which car he can get an approval for. The guy had no hope as he was not employed and was in the middle of bankruptcy. So I explained to the guy that given the present situation of his bankruptcy and unemployment he does not qualify for any guaranteed car loan. He asked me to confirm more than once whether I am sure of the same. When I had replied with certainty that none of the lenders we have would approve his loan, he just smiled.

Now he pulled a newspaper piece from his pocket which had our dealership advertisement. The advertisement ran as: “Guaranteed car loan and approval or $1000 cash back”.

It was one of those times when I really wished I could change my career. The old man was in need of money and as far as common sense goes he was right in his argument. The advertisement was given in bold capital letters and at the bottom of the page printed in small letters were the words “for more details contact the dealer”. In the end, the old man did not get his money but if it had been up to me I would definitely say he deserved the amount. He was told by the finance manager that he could get a guaranteed car loan approval if he pays 95% of the car price by himself. The least I could do was pay for his taxi to return home.

Ok now the point I am trying to make is that the advertisements do not give you the entire story behind guaranteed loan or guaranteed financing. The objective of the advertisements are to get you to walk through the doors and then coax you in order to see the funds in your hands or make you sign a cosigner. The probability of getting at least one person out of ten who walks through the doors to buy a car is considered as a success. As far as the dealers are concerned, it is just a game of numbers.

Now the question is where can one with a poor credit history and in need of car financing get a guaranteed car loan?

You can seek the help of the internet here. There exists websites which searches through a lenders database to get you a lender who would approve a car loan for you irrespective of your poor credit record and also you would have to pay nothing or very little down payment. As far as guaranteed car loan is concerned, this is the closest you can get if you have a bad credit record. However you will not get an approval in this method also if you are in the middle of a foreclosure or a bankruptcy or you don’t have an income. Except for these situations, you can definitely get a loan for yourself.