What are No Credit Auto Loans?

If you are looking for an auto loan, be sure to shop around and get some quotes from more than one lender, particularly if you are looking for a no credit loan, since there are no records required, you can get as many quotes as you want simply by providing some basic information. 

The most convenient method to get multiple rate quotes is online, either through a broker who can shop rates with different lenders for you, or check out different lending websites yourself.  When you request a no credit loan, there are usually different rates (higher than traditional loans) so be sure to let the lender know upfront that is the type of loan you are interested in.

If you have a recent history of bankruptcy or foreclosure, but still have significant  income, you may find no credit check auto loans very convenient. No credit loans may even offer you a better rate than a traditional lending agency if you do have negative marks on your credit record.

Keep in mind that you should give accurate information upfront, if you try to cover up any negative credit history, the company you are applying with will find out anyhow and most underwriters do not look favorably on borrowers who try to hide information.  Keep in mind that your collateral and character are what the lenders rely on. When you get the final decision, make sure to compare it with other lenders rates.

In order to be considered for a no credit loan, you may have to put up collateral to cover the loan, long term, after the value has decreased and the car can no longer be the sole collateral for itself.  Another option is to pay a huge down payment, again to cover any periods of time when the loan is still being paid off, but the value of the car is not enough to suffice for collateral.

Once you have secured your auto loan, be sure to visit your local St. Louis Cross Keys Auto dealership and check out our selection of used and certified pre-owned vehicles.