Bad Credit

Adverse credit history, also called sub-prime credit history, non-status credit history, impaired credit history, poor credit history, and bad credit history, is a negative credit rating.

A consumer or business’ credit history is regularly tracked by credit rating agencies. The data reported by these agencies is primarily provided to them by creditors and includes detailed records of the relationship a person or business has with the lender. Detailed account information, including payment history, credit limits, high and low balances, and any aggressive actions taken to recover overdue debts, are all reported regularly (usually monthly). This information can be quite detailed and arduous to navigate by a potential lender dealing with a new applicant. To address this issue, credit scoring was invented.

All credit bureaus also offer a supplemental service called credit scoring. Credit scoring is the process of using a proprietary mathematical algorithm to create a numerical value that alleges to be a total picture of an applicants creditworthiness. Scores, frequently based on numbers (ranging from 300-850 for consumers in the United States), are alleged to statistically analyze a credit history, in comparison to other debtors, and gauge the likelihood of the magnitude of financial risk. Since lending money to a person or company is a risk, credit scoring offers a standardized way for lenders to assess that risk rapidly and “without prejudice.

Credit scores allege to assess the likelihood that a borrower will repay a loan or other credit obligation. The higher the score, the better the credit history and the higher the probability that the loan will be repaid on time; this theory purports. When creditors report an excessive number of late payments, or trouble with collecting payments, a “hit” on the score is suffered. Similarly, when adverse judgments and collection agency activity are reported, even bigger “hits” on this score are suffered. Repeated hits can lower the score and trigger what is called a negative credit rating or adverse credit history.

Bad Credit Information

CarCasher.Com has assembled a network of dealers who in the view of the current financial crisis specialize in bad credit financing and will be able to offer you a car loan regardless of where you are located or your credit score. CarCasher.com is not a financial institution and you have to negotiate your bad credit car loan directly with the lender, but most financial institutions will issue a bad credit car loan decision within 24 hours.

Be careful filling out car loan applications online and always make sure that you are dealing with a legitimate car loan lender. Most established auto financing providers do not require you to make a purchase, so there is no obligation for you. Also, despite your bad credit score many lenders will be able to provide you with a financing even if you had experienced bad credit car loan, bankruptcy car loan or no credit car loan, previous repossession and/or foreclosure.