Typically, credit unions and banks refrain from offering car finance loans to people who have bad credit and even though they may consider an application for an individual with bad credit, they may charge a significantly high interest rate. In addition to this, they may ask for a lot of documentation and this could make a borrower’s task more cumbersome. Therefore, if you have bad credit but you want to purchase a car, you should look for lenders who offer bad credit car finance at competitive interest rates.These lenders usually work together with car dealerships but some deal with clients directly. The first thing that you should do when looking for a car finance bad credit option is to decide if you will finance a new or pre-owned car. Remember that getting a loan for a new car if you have bad credit is not always the best option. It is much better to choose a dependable pre-owned car, which is more affordable and you can finish paying it off in shorter duration. You also increase your chances of qualifying for a bad credit car loan if you choose to finance a pre-owned car. If you do not want to finance a used car, you should choose a low cost model. Remember that you can always get the car you love the next time.After identifying the car to finance, you should come up with a down payment. The larger the down payment is, the better because it will help you reduce the amount of interest you pay. If your credit history is really bad, it is advisable to put down at least ten to fifteen percent of the automobile’s price. You can come up with such a down payment by saving for a few months before applying for the car loan.The next step that you should take is to shop around so that you can be able to select the best bad credit car finance option. It is advisable to get at least five different quotes before settling on a particular lender. Note that there are other car financing options apart from car dealerships and they may offer you better deals. For instance, you can have your bank finance a car that is being sold by its owner if you can come up with a large down payment.Another important tip to note as you apply for car financing if you have bad credit is that you should only provide the lender with accurate information. Do not exaggerate your income since this could lead to problems in the future if you are not able to afford the stipulated monthly payments. You should also make sure that you carefully read the car finance agreement and ask for clarifications about anything you do not understand.You should also remember that bad credit car loans are equivalent to taking personal loans offered by financial institutions. You should therefore comply with the requirements of making monthly payments until you pay off the entire loan balance. Making payments for your car loan as required will help you build your credit and will allow you to qualify for other loans in the future. Hopefully, these tips on bad credit car finance will help you get a reliable car and rebuild your credit.