How Much Down Payment for a Car with Bad Credit?

Buying a car with bad credit near Calumet City? Purchasing a used car, truck, van, or SUV in that position can be stressful, but you’re actually in a better spot than you might think. Making regular payments on a car loan on time can actually improve your credit score, and make it easier to secure lower interest rates on other loans. What kind of down payments do Chicago area drivers make in that pursuit? Learn about their rationale here from Advantage Toyota of River Oaks.

The Average Down Payment on a Car with No Credit

Most subprime lenders – banks and other institutions that give loans to people with bad credit or no credit – usually require a down payment of 10% on a loan, or $1,000, whichever is greater. So you’ll find that’s likely the most common down payment drivers in less-than-ideal credit positions around South Holland tend to make.

However, if you can afford a larger down payment, that can make a big difference in lowering your monthly payment, and achieving a lower interest rate on your loan – which means you’ll pay much less in the long run. So if you’re asking how much down payment for a car with bad credit, the best answer is “as much as possible.”

Value Your Trade, Meet Your Down Payment with Bad Credit

If you’re trying to save money by purchasing a solid used car for only a few thousand dollars, that $1,000 down payment might seem like a looming number. But many drivers already have what they need to cover the most significant part of that down payment: their old car. Dealers like Advantage Toyota of River Oaks offer trade-in allowances that can easily be applied to down payments, making buying a car with bad credit but large down payment achievable!

Advantage Toyota of River Oaks Can Help Buyers with Bad Credit or No Credit

Shoppers near Dolton know us as the dealer of choice for those with bad credit or no credit. Contact us, stop by our showroom, and talk with our knowledgeable salespeople and friendly finance experts. We’re sure to find a deal that works to improve your credit score, fit within your budget, and get you behind the wheel of the vehicle you need.