Bad Credit Auto Loans in Philadelphia (MS)

Buying a car is no small decision, so it is crucial to line up your financing through a trusted resource. Our industry partnerships are first rate, and we are dedicated to getting you financed by the dealer that is most likely to fit your needs. We will match you with a financing professional who can help you obtain the loan necessary for the car you want.

Cars Both New and Used in Philadelphia

You can secure financing for a new or pre-owned car in Philadelphia, but which should you opt for? In spite of increased loan rates, used cars cost you less, as you can see from the numbers here.

New Car 1 Year Old Car 2 Year Old Car 3 Year Old Car
Depreciation 0% 25% 40% 50%
Retail Price $23,680 $17,760 $14,208 $11,840
Money Down $4,736 $1,776 $1,421 $1,184
APR 5.00% 7.50% 7.50% 7.50%
Length 5 years 4 years 4 years 4 years
Monthly Payment $357.50 $386.48 $309.18 $257.65
Interest $2,506 $2,567 $2,053 $1,711
Total Cost $26,186 $20,327 $16,261 $13,551

Regardless of whether you go with a new or pre-owned car, we would love to help you get the loan you need. Go here to submit your application.

Philadelphia Auto Loans with Bad Credit

Individuals with a good credit rating enjoy great loan rates and advantageous terms. However, many people have run into credit problems, many of which stem from the economic crisis. Even though below-average credit might make it tougher to buy a new vehicle, it’s definitely not out of the question.

That’s where we come into play. At Mississippi Auto Finance, we serve customers who have credit problems of all kinds, getting them the loans they need.

Trying to find a car that will fit your needs and price range is most important, particularly when your credit isn’t all that good. You might not be able to finance some of the cars and trucks on the lot.

To get the lowest rate available, don’t forget to inquire about the buy rate, or the rate offered by the lender before the dealer tacks on extra points for sourcing the loan. If at all possible, your car payment should be equal to just 5-8% of your gross monthly income. For instance, a resident of Philadelphia who has a gross income of $2,368 per month, the average, should plan to commit not more than $118 to $189.

Philadelphia Buy Here Pay Here Dealers

Buy here pay here dealers wants you to assume that you can’t get financed anyplace but with them, but this generally isn’t the way it is. Dealers like these will approve practically anyone, regardless of their credit, but there are issues. Alas, you can look forward to excessive rates of interest, huge down payments, and vehicles that are too expensive for the kind of shape they’re in. There’s more: these car lots don’t report to the credit reporting agencies, so you could make all of your payments on a monthly basis without a boost to your credit score.

Loan Pre-approvals for Philadelphia Consumers

The amount you’ll be able to finance is based on your income bracket and credit tier. As an example, have a look at these figures for the average Philadelphia resident who has an income of $2,368 per month.

Credit History Income Factor Amount Borrowed
Good Credit 10 $23,680
Fair Credit 9 $21,312
Subprime Credit 8 $18,944
Bad Credit 7 $16,576
Very Bad Credit 6 $14,208

It’s best if you borrow less than you can, in an effort to keep room in your budget for emergencies. To sum up, the ideal finance package incorporates a down payment of 20%, car payment of 8% of monthly income, and a repayment term of 60 months or less. With an income of $2,368 each month, let’s consider what price car you could buy based upon your credit.

Good Credit Fair Credit Subprime Credit
Monthly Income $2,368 $2,368 $2,368
Payment $189 $189 $189
Rate 3.50% 7.00% 11.00%
Years 5 5 5
Car Price $13,017 $11,959 $10,891
Money Down $2,603 $2,392 $2,178
Borrowed Funds $10,414 $9,567 $8,713
Total Interest $953 $1,799 $2,653
Total Investment $13,970 $13,758 $13,545

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We work with dealers and lenders who are standing by to approve your loan. Talk to an auto finance specialist in Philadelphia today.