Consumers who finance vehicles with auto loans for bad credit in Madison Wisconsin need to be aware of title brands as well as other title issues before signing on the dotted line
Choose a bad credit web site carefully
People with bad credit can be particularly vulnerable to car selling scams. That’s why legitimate web sites such as www.autonetfinancial.com only work with legitimate dealers in the Madison, Wisconsin metropolitan area who deal with a broad spectrum of lenders and specialize in car loans with bad credit. They have also helped people just like you, who may live in Shorewood Hills, Maple Bluff, Monona or Verona, raise your credit scores and reestablish your car credit by filling out an online bad credit car loan application and financing a vehicle with a second chance auto loan through affiliate dealers near you.
You may have also noticed that the really good web sites try to provide their applicants with the information they need in order to make educated decisions about the kind of loan they should choose (such as a tote the note loan versus a bad credit car loan). The reasoning behind this is simple: a bad decision at this time could result in a loan you can’t afford which could turn into in a repossession that could lower your credit scores even further.
Another bad choice
But in addition to making a poor decision about a bad credit auto loan, car buyers should also be aware of the different types of used vehicles available at dealers on the Beltline Highway as well as other areas and the types of titles that are issued to them.
The majority of used cars in today’s market – and the only type of car a legitimate bad credit lender will finance – come with clear titles. This means that the vehicle has either not been in an accident or, if it has, the damage wasn’t sufficient to declare it a total loss. This means that even with a clear title, you should still have it inspected, since there could still be hidden damage.
Also remember that in the practice of “title washing”, a vehicle with a branded title is re-titled in another state with a clear title and then brought into Wisconsin. This brings us to the topic of “branded titles”.
Wisconsin branded titles
A car with a branded title has either a different-colored title with a notation on it or a notation at the bottom of a regular-looking title to differentiate it from a clean title.
There are a number of title brands in Wisconsin. It should also be mentioned that there are penalties of up to $5,000 for failing to disclose title brand information:
Rebuilt Salvage – a vehicle that was previously branded as “salvage” but has been repaired and passed inspection. Even though these vehicles may be driveable, the rebuilt title permanently documents the vehicle as having been, at one time, a salvage vehicle. Bad credit lenders will not finance a salvage branded vehicle.
Salvage – a vehicle that is less than 7 models years old and was damaged more than 70% of its fair market value. Bad credit lenders will not finance a salvage vehicle.
Flood Damaged – A flood damaged vehicle brand means that water damaged more than 70% of its fair market value. Bad credit lenders in Madison will also not finance a flood damaged vehicle.
Used as a taxi or for public transportation – second chance auto loan lenders may or may not finance this type of vehicle
Police vehicle – Once again, bad credit lenders in Wisconsin may or may not finance this type of fleet vehicle (usually not).
Manufacturer buyback – This means that the vehicle was bought back under the lemon law.
Stfarm not inspected – This brand is placed on a vehicle declared by State Farm Insurance as a total loss, but not submitted as salvage, and was part of the State Farm settlement with the Department of Justice. The vehicle has not passed an inspection by a certified state salvage inspector. This is not a salvage brand. It is doubtful if any bad credit lenders in Wisconsin will finance a vehicle with this brand.
Issues with branded vehicles
If you are a customer buying a car with a bad credit car loan, you need to be aware that bad credit lenders will not finance a branded vehicle. Most of them will also not finance a fleet vehicle or a vehicle with unknown mileage. If you are asked to sign this type of title, you should refuse, since these vehicles have a market value that can be half that of a Madison, Wisconsin vehicle with a clean title.
In addition, it may be difficult to both license and insure the vehicle in your state.
The bottom line
Be very careful in Madison, Wisconsin and in any other town when signing the title to a used car. In most cases, if it is a branded title, you should walk away from the deal – especially if you are financing it using car loans with bad credit.
At Auto Net Financial we have helped many residents of Wisconsin that have bad, blemished, bruised and tarnished credit buy cars and reestablish their auto credit at the same time. Our Madison, Wisconsin network of affiliate dealers specializes in bad credit car loans. Do you need to do more research? Our web site will help you determine how much car you can afford and, unlike other sites, our toll free number is listed on every page in case you have any additional questions.
So if you are serious about getting your credit back on track, why not begin a new chapter in your life by filling out our bad credit car loan application now.
