Since you are currently enrolled in a debt settlement program, buying a car may seem difficult. Here are some tips that could help you purchase a reliable car at an affordable price.

List Your Current Expenses. Find out how much of a car payment you can afford by establishing a budget. Since you are enrolled in a debt settlement program, it would be wise to select a reasonable-priced, modest vehicle. In most cases, it would be best to select a late-model used car as opposed to a new car. You can find many quality pre-owned vehicles for less money. In addition, you avoid the hit on the first year depreciated value of the new car.

The Right Vehicle To Fit Your Budget. Before you begin looking for another vehicle try to have some idea of the type of car that you would like to purchase. You could go to sites such as AutoWeb.com, Cars.com, and CarsDirect.com to search for vehicles in your area and to research makes and models. Once you find a car you like you might want to obtain its history report at Carfax.com. There is a fee for this service depending on how many vehicle reports you need. However, finding out the past incidences in your potential auto’s life might save you money in the long run.

Financing Options. There may be lenders who will extend credit to you despite your financial trouble. Be honest with your dealer and ask them if they work with lenders who specialize in high risk loans. Having someone co-sign for your loan might help. Or you could try applying for a car loan through your credit union.

Read All Paperwork. Before signing any paperwork, read everything carefully. Some dealers might try to add charges for VIN# window etching, dealer prep or a warranty that you never requested. In most cases, these services are not necessary and can be done cheaper on your own.