Murphy’s Law dictates that your car is going to break down the minute you cannot afford to get it repaired. Do not worry. Eddie’s Auto Repair works with Sunbit to help our customers secure the financing they need so they can get their vehicles repaired and back on the road. Aside from Sunbit, Credit Karma says there are traditional and untraditional forms of financing that you can also use for your auto repairs. Let’s talk about this financing below.
According to Credit Karma, your best bet for financing is taking out a loan from the bank or credit union at which you have an account. These loans come with low interest rates and long payback periods. The caveat is that you must have excellent credit and collateral to back the loan. For some, even if they have good credit, they will not pass the loan approval process. If you do have excellent credit, it’s a good idea to apply for a bank loan first before you opt for other financing options.
It’s tempting to charge your auto repairs on your credit card, but check the interest first. According to Credit Karma, your credit card may come with an interest rate that is as high as 20 percent or more. This will make paying off the auto repairs nearly impossible. Your best bet is to apply for a credit card that has a low interest rate or zero interest for a limited time period. That way, you have a better chance of paying off the auto repairs because the interest does not increase the bill as severely.
Naturally, the above two options require a person who has established an excellent credit record. Many people have poor credit or no credit at all. If this is the case, you do have the option of taking out a payday loan, but Credit Karma warns that these loans come with very high interest rates and extremely short payback periods. For example, you will have to pay off the auto repairs and the loan interest on your next payday or face exorbitant late charges.
Another option is to turn your vehicle’s title over to a lender if your car is paid off to secure the money that you need to repair the vehicle. As with payday loans, however, the interest rates on title loans are extremely high. Generally, you only have 30 days to pay back the loan, as well.
Eddie’s Auto Repair in Harriman, TN, is here to help, so why not see if you qualify for assistance from Sunbit? You can apply directly from our website.