Bad credit car repair loans are financial products designed for individuals who have lower credit scores and may need help with obtaining traditional financing for car repairs.
These loans are often more flexible and easier to obtain than traditional loans, making them a good option for individuals who need to get their car fixed but have a lacklustre credit history.
We give you all the information you need about bad credit car repair loans so you can get your funding ASAP.
For starters, here is an overview of several options, inclusive of costs and repayment terms, for bad credit auto repair loans that you may expect from OrangeLoans:
| Loan Amount | Repayment Period | Maximum Interest Rate | Comparison Rate | Total Fees | Total Repaid | Repayment Options |
| $300 | 12 months | 48% | 65.85% | $264.80 | $564.80 | Weekly, Fortnightly, Monthly |
| $500 | 12 months | $464.80 | $964.80 | |||
| $1,000 | 12 months | $964.80 | $1,964.80 | |||
| $2,500 | 24 months | $2,064.80 | $4,564.80 | |||
| $5,000 | 36 months | $4,064.80 | $9,064.80 |
Bad Credit Car Repair Loans May Come With Higher Interest Rates
Bad credit loans may come with higher interest rates and fees than loans for individuals with good credit. This happens because lenders view people with bad credit as high-risk individuals to loan money to. As such, they may charge higher fees to compensate for this risk.
Remember to Review All Loan Terms of Bad Credit Car Repair Loans
The above table is just an example of our prices. The actual costs and repayment terms may vary depending on the lender and the specific loan terms.
It’s important to carefully review all loan agreements and terms before signing to ensure that you fully understand the costs and obligations associated with your auto repair loans.
If you’re considering a bad credit car repair loan and you have inquiries about it, here are some answers to frequently asked questions about loans for auto repairs:
How Do I Apply for a Bad Credit Car Loan?
You can start by completing an online application through a lender or a financial service provider like Orange Loans.
During the application process, you may be required to provide personal and financial information, such as your name, address, income, and employment status. You may also be required to provide extra information about your car, such as the make, model, and year.
What Do I Need to Qualify for a Bad Credit Car Loan?
The specific requirements to qualify for a bad credit car repair loan may vary depending on the lender. In general, you may be required to meet the following criteria:
- Be at least 18 years old
- Have a valid government-issued ID, such as a driver’s license
- Have a regular source of income
- Have a checking or savings account in your name
- Have a working car that needs repairs
Can I Get Approved for a Bad Credit Car Repair Loan With a Credit Score of 500 or Lower?
If you need a loan urgently, it’s possible to get approved for a bad credit car repair loan with a credit score of 500 or lower. However, the loan might require you to pay higher interest rates and fees.
Is It Better to Get a Bad Credit Car Repair Loan or Pay for the Repairs With a Credit Card?
Even the best loans for bad credit for financing car repairs, a boat, or even a bike depend on your credit score and financial situation. If you have a low credit score and cannot qualify for a traditional loan or credit card with a low interest rate, a bad credit car repair loan may be a good option.
If you have a credit card with a low interest rate and can pay off the balance promptly, using a credit card may be a more cost-effective choice.
Can I Get a Bad Credit Car Repair Loan if I Don’t Own the Car Outright?
It’s possible to get a bad credit car repair loan if you don’t own the car outright, but it may be more difficult to avail it.
Some lenders may require that you have equity in the car—meaning, you owe less on the car than it is worth.
Wrapping up
Bad credit car repair loans can be a valuable option for individuals who have difficulty obtaining traditional financing due to their low credit score.
If you’re in need of car repairs and are considering a bad credit car repair loan, Orange Loans can help find a lender that meets your needs. So, take the first step and apply online today.
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