The second or third chance that’ll get you back on tracks

Bad credit scores put their “owner” on a slippery slope, and thus one that is difficult to climb back: a bad credit score is often due to a series of financing that didn’t go too well, and it’s near-impossible to improve this history when (almost) every lender is turning its back on you because of what it currently shows.
 

In this context, homemade car financing, also known as second or third chance financing, is not only a way to quickly get a car you may desperately need: it’s also the first stone to your new credit’s building. If you’re not familiar with credit files and homemade financing, let’s review these notions together.
 

Among other things, your credit file contains informations reported by current and past creditors, and these informations are used in your credit score’s calculation. This file (and your score) can and will be requested by the people or institutions you’re trying to get a loan from. If you get denied so often, it’s because they’re not happy with what they’re seeing. That places you in a tough spot since, as we’ve already stated, it’s almost impossible to improve your credit history if nobody wants to lend anything to you. One of your way out, as counterintuitive at it sounds, is to buy a car and to finance your purchase directly with the same car dealer or its affiliated financing service.
 

These enterprises (car dealers or their affiliated financing branches) are used to do business with people suffering from a bad credit score. You won’t be judged and you’ll get the financing you need to purchase a new car on the spot, most of the time. The idea is to improve your credit score (on top of getting a reliable car that went through an inspection and that you can finance at 100%, if that’s what you want), so it’s obvious that you’ll have to follow the terms and conditions of your loan to the letter. This will add a satisfied creditor to the list found in your credit file, and you’ll be able to start from there to rebuild your financial life.
 

Life with a bad credit score is not easy, but you have to keep going forward. Among the available options to get you out of your current position, second or third chance financing is undoubtedly one of the best.