Can You Lease a Car or Truck with a Poor Credit History?
Do I Need Great Credit to Lease a Car?
Curious to know if you can lease a car or truck with poor credit? Well, you’ll be relieved to be told that the answer is yes. Unfortunately, it’s not always easy. With a little research, however, some smart shopping, and knowing how you and your credit stand, it isn’t impossible. The following are some concepts and ideas brought to you by industry experts that can help turn the anxious buyer into a clear-eyed consumer.
Find Out Your Credit Summary
Your official credit rating is a map of your standing as someone who takes care of their credit obligations. Your credit history is a glimpse of your exact stance at the moment of research. Conversely, your credit report is a complete summary of your history as a consumer and debtor. Additionally, note that every time you run a credit check can negatively affect this score. It certainly can’t hurt to get a copy of your report and bring it to the dealership when you stop by.
Credit scores go from 300 to 850. Any score under 620 is classified as “subprime”. The minimum credit score required to lease most cars is 700, on average.
Understand Your Options
Even if you’ve got low credit, or might be leasing a car without any credit, realistically you probably will not be bringing home your dream machine. With bad credit, however, cheaper vehicles will be easier to get qualified for. Some leasing companies specifically work with low credit applicants. Indeed, there are car dealers that work with all types of credit.
Select a Car Model that Dealers Are More Eager to Lease
If you’re challenged to find somewhere to lease a car with ugly credit, then it’s just like anything else – you can broaden your search. Car and truck manufacturers generally release new models and trims near the end of each year. Therefore, dealerships may not want previous year models taking up valuable space on their lots. Rather than continue to lose money, they’ll most likely be keen to unload. This can be a good time for those with a poor credit rating.
Prove that You Have a Steady Income
How about low credit without a co-signer? You probably won’t qualify for a vehicle lease without an income. All may not be lost. There is such a thing as bad credit car leasing. Show actual proof of your consistent income, copies of pay stubs and evidence of a salary that is more than enough to take care of your monthly expenses. Show that you are working to improve your poor credit score, and even include personal/professional references. Verification of prior leases you’ve had with near perfect payment history. If not a car lease, a house may also impress.
Save Up for a Bigger Down-Payment
Down-payments are an important reason for leasing agents when they determine your choices. Generally speaking, those with great credit will qualify for a no money down vehicle lease. For those with less impressive credit, however, the option for giving up a large down-payment may significantly improve your chances of an ideal vehicle lease.