Red Flags to Look Out for When Shopping for a Car with Bad Credit

January 12th, 2017 by

dealership red flags

Shopping for a new or used car shouldn’t be scary, but unethical dealerships have been turning potential car buyers off for a number of years. The reasons why people shy away from these dealerships range from shady sales tactics, to scummy salesmen, to ridiculously inflated sticker prices. The list goes on and on. These unfortunate situations happen every day to well-qualified buyers across the country, but the circumstances are much more dire for those shopping for bad credit car loans. Ohio residents with poor credit scores continue to turn to the reputable family-owned McCluskey Automotive when they need to secure a car loan. For individuals living outside of the tri-state area, or who are unable to make the journey down to McCluskey, what are their options?

Raising the Red Flag on Used Car Dealerships

Unfortunately, the country is full of unsavory dealerships operating unethically and without any sort of checks and balances. These dealers tend to prey on individuals with poor credit, and jump at the opportunity to hook them into an unrealistic loan that can never be successfully paid off. Dealerships that operate in this way turn people off who are in need to help, and who have nowhere else to turn due to their low credit scores. If you are in a bad spot and need to borrow money for an auto loan, where should you turn? Rather than throw in the towel and continue on a downward spiral of debt and poor credit, equip yourself with the knowledge necessary to find a reputable dealership that offers bad credit car loans. Take a look at some tell-tale signs that a dealership is more interested in its bottom line, than helping you reach your future financial goals.

  • A Bossy Sales Team: If you visit a dealership that you know offers bad credit car loans and find their sales team to be demanding, bossy, or otherwise forceful in their presentation – slowly back away. The only place we should be seeing sharks outside of the ocean is on ABC, and certainly not at the desk of a bad credit car dealership.
  • Treating the Deal Like “Normal”: Car shopping with bad credit is very different than buying a vehicle through traditional financing. Typically, in this situation, you will begin by sitting down with a member of the finance department in order to decide what you can pay each month. After a number is decided upon, the dealership will offer you a few options that fit into your budget. This is how every responsible bad credit car dealership should operate. If you go into a showroom and let the salesman know that you have bad credit, expect to sit down and crunch numbers before taking any test drives. If a dealership takes the opposite approach, be wary. Allowing you to believe that any car on the lot is available to you and fits within your budget, is a sure sign that the dealer is setting you up to fail.
  • Not Listening to Your Budget: If you sit down with a financial team member and go over your credit history, current earned income and expenses, you should come up with a number you are comfortable with paying. If the dealer representative seems adamant about stretching your budget past a level in which you are comfortable, hit the road. Bad credit car dealerships should be more interested in setting you up for success, and not for failure. If you feel like a plan is in place to sabotage your efforts, get up and walk away.
  • Getting Your Hopes Up: If you walk into a dealership and are honest about your credit history and current credit score, a good dealer should direct you towards vehicles that reflect your budget and that will help you meet your goals. If a salesman suggests taking a car for a test drive that is well outside of your price range, you shouldn’t only decline – you should get as far away from that dealership as humanly possible.
  • All Talk and No Action: Unethical dealerships prey on people who don’t have the credit score to secure a traditional car loan. They will lure you into the showroom, and fill your head and heart with promises that they never intend to keep. When a salesman, or even the general manager, at a dealership tells you that he will offer you a certain interest rate, or promise you a certain price on a used car – don’t ever take his word for it. Ask for written verification and keep a paper trail. If the dealership refuses to put its promises in writing, and suggests that you “take our word for it,” wave the white flag and surrender back to your place of residence immediately.
  • They Don’t Go Over ALL of Your Options: Any good dealership will help you understand your credit situation, and make you aware of your options for securing a loan with bad credit. If a dealership does not inquire about whether or not you have considered a co-signer, or if you have considered other options available to you, they are probably not as interested in your success as they are letting on. While researching your options and understanding what your credit score means is largely your responsibility as a consumer, it is always helpful to know that your car dealer is on your side, and truly wants you to make the best decision for your situation.

Discover the Freedom of a Bad Credit Car Loan at McCluskey Automotive

As a family owned and operated dealership in Cincinnati, Ohio – McCluskey Automotive has been helping people secure bad credit car loans for years. Backed by its outstanding reputation and plenty of success stories from people like you who were able to reverse their bad credit scores, McCluskey Automotive wants to help you get back on the right financial path.

If you live here in the Queen City, or any of the surrounding areas in the tri-state, we invite you to stop by. You can give us a call to discuss your options over the phone, or learn more about the different loans we offer right on our website. If you need to be approved for a car loan, and are finding yourself limited because of bad credit, give the experts at McCluskey Automotive a chance to help