What are the Main Reasons Car Financing Applications Get Denied?

Posted: Thursday, May 5th, 2016

If you have less than perfect credit, you know that it can be difficult to get the financing you need to get into a good car. Many buyers with bad credit are even denied car loans when they apply. We’ll explain why that is and what you can do to get approved for a loan when you apply with Green Light Auto Credit.

 

When Will a Lender Deny You a Car Loan?

Most lenders want to give you money – that is how they profit. There are some exceptions to this, however. Under certain circumstances, a lender may deny credit to an applicant:

  • Low Credit Score — Your credit score is an indicator of how reliable you are. If your score is below 620, you are considered high risk.
  • Many Inquiries — Every time a lender runs your credit report it costs you a point or two. Multiple inquiries are seen as a sign that you are looking to take on more debt. This could also mark you as high-risk.
  • Missing Documents — If there is paperwork missing from your application, or you have filled something out wrong, it can cause a denial.
  • Poor Payment History — If a lender sees that you have a history of late or no payment issues, they may refuse to extend credit to you.
  • No Credit — Almost as bad as poor credit. If you have no credit history, you may be denied credit on your own and have to find a co-signer.

Let Green Light Auto Credit Help You Get the Perfect Loan

Regardless of why you’ve been denied in the past, Green Light Auto Credit is here to help. We specialize in bad credit auto loans and buyers who have been denied car loans in the past. We offer a simple loan application and quick approval to get you on the road today.

Don’t Get Denied for the Car Loan You Deserve, Come to Green Light Auto Credit

If you’ve been denied a car loan for any reason, contact the experts from Green Light Auto Credit at (800) 200-5551 to discuss your options. We can help you get started on rebuilding your credit in as little as one day.