Are you thinking about buying a new car in the next several months?  If so, you might be up for a rocky road, especially if you’re planning to finance.  If you have troubles like poor credit or past bankruptcy, it’s a very tough time to buy a new car.For many people with sub-stellar credit, the only resort is tracking down in-house financing — i.e., those car lots or dealers which offer 2nd chance car financing for people with any credit history imaginable.  These lots generally go under the terms Buy Here Pay Here or Your Job is Your Credit.  Tote the Note is another common descriptor.

Your job is your credit car dealers will often approve credit scores below 600.  Many do not perform credit checks.  When a lender performs a credit inquiry, that’s called a hard inquiry and  is reflected on your credit report and can ding your score. 

There are a few drawbacks, however, that it would behoove you to know and acknowledge.  Bad credit financing rates are usually more than 20% for instance, and the inventory of vehicles available are generally high mileage. 

What’s great for those with poor credit is that a used vehicle is bound to be more affordable to finance and insure.  You should also be wary of the dealer scams more common to smaller lots.  Whether you want a car loan for a compact two-door coupe or a giant new SUV, getting a your job is your credit financing package pre-arranged in this way has substantial benefits.