According to the Small Farmer's Research Center at Alabama A&M University, there are two major credit scoring models that most lenders use to determine whether you have great, good, or bad credit. The FICO score ranges from 300 to 850, while the VantageScore falls between 501 and 990. Should your lender determine that your score falls under the bad credit category, you'll need to locate an auto dealer who provides bad credit auto financing in order to get the car you need to get around. 

Buy Here, Pay Here

Start your search for a vehicle by locating dealerships in your area that advertise as "Buy Here, Pay Here." These companies finance the cars themselves, so there's no need to go through a bank that has stricter lending standards. The employees are able to offer bad credit auto financing to their customers, and often times can set up a weekly or monthly pay schedule that fits your budget. 

Pay Stubs

If you have a good job and you can show that from your pay stubs, call around to find a private dealer that is willing to work with you. Some dealers will want to see one month's worth of pay stubs, while others requires as many as three months. Instead of your credit score, the dealer will then use your current income to come up with the bad credit auto financing package. Based on what you can afford for a vehicle, the dealer will show you which cars match your budget. 

Tax Refunds

Another way to obtain bad credit auto financing is to use your tax refund. There are two ways to do this. First, you can cash your refund check when it arrives and use this as a down payment for the car you want, which reduces the amount of money you'll need to finance, making it more likely that you'll get approved. Second, there are some private dealers that are willing to accept a tax refund check that has been signed over to them. Again, the overall balance for the vehicle would be reduced so that you wouldn't have to get approved for much financing. 

Accept a Larger Interest Rate

It is still possible to purchase a car at a larger dealership if you are willing to accept the bigger interest rate that comes with the lender's bad credit auto financing. You may be paying more in the long run, but depending on your situation, this may actually be worth it. You won't be losing out on money because you don't have transportation to get to and from work. You'll be able to earn a living and make all of your car payments. 

For more tips on how to finance a car when you have bad credit, talk to a dealer like Pine Grove Auto Sales.