Used Car Financing Center in Grand Forks
Rydell Outlet Center is always ready to provide sound financial solutions for your car-buying needs when you're shopping for used cars in Grand Forks. Our friendly finance managers are focused on helping you secure an auto loan through financial institutions throughout the area that makes sense for your financial situation—now and in the future.
We have a great relationship with many local and national lenders that can help you get the vehicle you need. Our used car outlet center offers:
- Highly competitive financial services that fit within your budget
- A fair and honest price on the vehicle of your choice no matter what your credit history looks like.
- A financial service process that creates real value for our customers today and on all the roads ahead.
- A comfortable atmosphere where we work with you to find the best financial options available.
Trade-In or Sell your Current Vehicle
Trade-ins are a great way to make the used car, truck, or SUV you're looking to buy even more affordable. However, even if you don't want to buy a used vehicle from us, you can still sell us your current vehicle. Whether you're looking to upgrade or just want some extra cash, bring your current car to us and sell it today.
Used Car Financing FAQs
- Can I Finance a Used Car with Bad Credit?
- How Much should I put Down for a $10,000 Car?
- What Is a CARFAX Report?
- How to Finance Your First Car with Low Credit
- What Is the Best Option for a First Time Car Buyer?
- Buying Used at a Dealership vs. Private Seller
- What’s a Good Interest Rate on a Used Car?
How is your credit? We can help!
Due to our special arrangements with local and national lenders, we can help you get the used vehicle you deserve. Whether your past credit is near perfect or not so perfect, we can help!
Our Financial Services Include:
- Competitive rates direct from local North Dakota banks
- Quick approvals
- Value-added services to protect your vehicle investment
Low or No-Credit Financing Options
Did you know that used vehicles tend to call for higher interest rates than new vehicles? There are several reasons why this is the case:
- It's difficult to predict resale value. With a new vehicle, depreciation is easier to predict than that of a used vehicle. If you want to resell your used vehicle, it's hard to know how much it's truly worth.
- You might have a lower credit score. Most people with lower scores gravitate toward used vehicles because they cannot secure the stellar financing options that come with new vehicles. Also, the upfront costs of new vehicles might be too high for you to pay. Typically, if your credit score is 660 or lower, you've had a bankruptcy in the past five years, or your debt-to-income ratio is 50% or higher, you're considered a subprime lender.
Your low credit score might be due to several reasons, such as making late payments to lenders, opening too many accounts over a short timeframe, or not having enough years of credit history. However, having a low credit score isn't the end of the car-buying process. You can always pay for your used vehicle in cash to avoid further damaging your credit. This isn't a realistic option for everyone, but if you can make it work, you could also avoid the higher interest rates you might be saddled with due to your poor credit.
You could also get a cosigner, such as a parent, a spouse, or a close friend, to make your application more attractive to potential lenders. The creditworthy cosigner gives the lender some options if you're considered a risky borrower; if you fail to make timely payments on the loan, the cosigner becomes responsible for the loan amount. Another option is a co-applicant, who has equal obligations on the payment and has access to the vehicle. The cosigner doesn't have any rights to the vehicle, whereas the co-applicant does.
Used Car Financing Tips
Learn About Interest Rates
Shopping for the lowest possible interest rates on your used car loan can put you in a stronger negotiating position and save you money on the life of the loan. You can check online for the latest average loan amounts to better understand what type of numbers you can expect. If you have good credit, you might qualify for a rate at or below average. However, if you have bad credit, you'll typically have a higher interest rate, which means you'll have a higher monthly payment.
Do Your Homework
Before heading to the Rydell Outlet Center, you must do a little homework so you're fully prepared regarding financing your purchase. Doing these tasks can help you secure the best financing options available. You can also take it a step further and get preapproved. Doing so can help you narrow down your vehicle options, as you will know exactly how much you can afford to finance. Other steps you should take include the following:
Know Your Credit Score
Financing a used vehicle isn't the same as getting a mortgage or a credit card. Even if you have less-than-stellar credit, you can still purchase a vehicle, but you might have a higher interest rate if you have little or no credit. The reason for this is that it's relatively easy for a bank to repossess your vehicle if you fail to make timely payments.
Lenders look at your credit score to determine if you're eligible for a car loan. The credit report has information about the various accounts you have, the credit limits on these accounts, and your history of making on-time payments. Lenders examine the amount of credit you're using and compare it to the amount available. If you notice any discrepancies in your report, take the time to fix them before applying for a used vehicle. Errors in the report could result in a higher interest rate or even a denied car loan application.
Put Down as Much Money as You Can
It's tempting to drive off in your used vehicle without putting a single penny down, but this is a risky move. Consider contributing as much money as you can toward the down payment, as this money is taken off your initial car loan. Not only will this decrease payments, but it could also lower the interest rate. It might make you more appealing to lenders as well. Also, if you find that you suddenly need to sell your used vehicle, you might have a harder time if the amount remaining on the loan is more than what the vehicle is worth.
Examine the Loan Terms
Read through all the loan paperwork. You might be tempted to agree to a five-year car loan because the monthly payment amount is appealing. However, in the long run, it's best to have a shorter loan term even if your monthly payments are higher. Paying off the loan more quickly means that you're paying less interest over time. If you wait until five years to pay off the loan, your vehicle might not even be worth that much in the end. You might also have a higher interest rate for longer loans.
Contact Rydell Outlet in Grand Forks, ND
If you're in the market for a used vehicle in the Grand Forks, North Dakota, area, reach out to the professionals at Rydell Outlet Center. With most of our used vehicles priced under $10,000, there's bound to be a vehicle that works for your needs and budget. Contact us today, as our finance department can help you secure used car financing so you can drive home in your dream vehicle today.