The benefits of a second chance car loan

Studies show that most Australians upgrade their vehicle between eight to ten times during their lifetime. It is common for people to finance either the entire purchase price, or a portion of the cost of their car through either a bank or lender. Embarking on a commitment this big is generally an exciting experience, but can prove daunting for those with less-than-perfect credit. The good news is that there is a solution for those with average to no credit.

A “no credit-check car loan” is a product that Ume Loans has been offering since our establishment in 2009 on the Sunshine Coast. Generally, most lenders and banks will conduct a credit check instantly upon application, which also results in the reduction of a credit score by a certain amount of points. This means that a persons score reduces as soon as they apply for a loan. Most are unaware that this process takes place, allowing for a significant amount of enquiries landing on a credit file without the individual knowing. Before too long, some innocent non-committal enquiries can change someone’s credit score from “ideal” to “sub-par” in one sitting.

No “one size fits all” approach

Traditionally, the figures on a credit score are the main nominators of how a person’s loan eligibility is scored. EG: credit scores within certain brackets would qualify for a certain group of interest rates, repayments and fees. This assessment process does not cater for the remainder of a person’s situation or profile, and can approve or decline them purely based on a score on paper. A “no credit-check car loan” caters for everyday Australians who may have plenty of merit within their overall profile, but who have experienced something in the past that has effected their credit history. Ume Loans is centered on providing financial second chances to people who would not have the chance to be considered by mainstream lenders or banks, which is what makes our mission so unique. See our case study of a young couple we were able to assist in improving their financial future, in conjunction with the purchase of not one, but three asset upgrades.

Fast approval process

Bad credit lenders are commonly known for taking longer during the assessment process, as they have more aspects of a customers profile to analyse. This is because lenders have to take the time to view the merit in a persons profile. This ensures that the decision of to lend money to that individual is viable for them. While Ume Loans bases their credit assessment largely on the merits of a customer’s profile, they do require documentation to allow for financial verification and analysis. We have recognised the urgency when it comes to needing a second chance car loan, and understand the importance of a fast turnaround time. For this reason, we have developed a streamlined application process which allows people to submit their documents online, and to apply via a simple digital form.

Stress-free assessments

If you have been made aware of any blemishes on your credit file, it can be daunting to submit a finance application. Fear of being declined, with another reduction in credit points is common among those who initially apply with us. We see the value in protecting your credit history, and have a genuine interest in improving your financial footprint. Our process consists of a high level financial analysis of your quarterly spending, and will only filtrate through to a lending specialist if you fit all requirements of our lending criteria. In essence, if we cannot find a way to give you a loan approval, we will not appear on your credit file.

Credit score improvement

Most bad credit lenders aren’t looked upon favourably by higher tier financiers due to the reputation of SACC and MACC products in general. Ume Loans is not recognised as a payday lender, as we do not offer loans within the SACC and MACC space. For this reason, we can provide credible documentation to support the overall improvement of your financial profile if your loan presents good repayment history. Obtaining a loan through us is not intended to be a lifetime commitment; we aim to help get you back on track and in turn increase your eligibility for the best car loan products on the market.

If you are in need of a second chance loan, but feel you may not be considerable through traditional banks and lenders, speak to one of our team today on (07) 5443 3863, or apply online today.