For Auto Leasing - Part 2
Tips and TricksYou need to be realistic. You may walk in and spot a Chevy Camaro with the Bumblebee paint job, but keep walking. Leasing a car with a shaky financial history is going to restrict the kind of vehicle that's a sensible option. Be smart. Missing payments is going to compound your credit situation, so do your math and make sure the vehicle you choose is affordable. It may not be your dream ride, but it's also not going to be a clunker. You'll be getting a nice car with the latest auto advancements. Are there any tricks to making it easier to qualify? Indeed there are. You should consider the following:
Think about getting a co-signer. If you're straight-up having a difficult time qualifying for a lease, it's not a bad idea to ask a family member for help by becoming a co-signer. The two catches are this person must have good credit and, of course, be willing to take on the responsibility. If you default, guess who has to cover the bill? That's right--your co-signer. If it works out, though, having a co-signer can make it so much easier to qualify.
Make a larger down payment. Bad credit is going to stick you with a security deposit or a required down payment, anyway. This tactic might give you the wiggle-room: pay a larger down payment, or even pre-pay the first few months up front. Adding this option into the mix should make it a lot easier to qualify.
Finally, you may have bad credit, but your current income level might be fine. The dealer will probably require you to show proof of adequate income. If you can prove that your salary enables you to cover your monthly lease (and other bills) comfortably, you're much further down the path of qualifying. If you can show you're not a risk by providing a few personal references who can vouch for you, you’ll advance your cause even more.
Final WordsHaving bad credit can be a real punch in the gut, but it's not a permanent issue providing you play your cards right. Leasing a car tends to be a far more sensible option than buying one with a high-interest auto loan. The reality is that it's no walk in the park, but if you shop around and keep informed, the pros can significantly outweigh the cons. If you follow the advice above (especially the part about making timely payments) and take advantage of the tips & tricks, securing a lease will give you a very serviceable vehicle and an opportunity to start improving your credit. It's most certainly a hurdle, but once you continue repairing your credit, you'll be shopping around for a new car at a low-interest rate in no time.