What is a Sub-Prime Car Loan

What is a Sub-Prime Car Loan

At Pioneer Credit Center, we get asked all the time "What is a Sub-Prime Car Loan?"

 

A Sub Prime Car Loan is a special finance loan that is offered to individual whose credit has had some challenges.  These Sub Prime Loans are usually automotive loans or mortgages, where the vehicle or home can be used as collateral. Interest rates are generally higher then prime loans and there may be more conditions on the loan.

 

 

 

When you get a Sub Prime Loan a Co-signers are generally a good idea. A co signer brings their strong credit to the table allowing you to have better terms and conditions. Because they are responsible in the event you default the bank will give a lower interest rate or longer finance terms as the risk to them is considerably.

 

 For more information please call us 604-832-3083