If you have bad credit, or suspect you have bad credit, you may think you can’t get a car loan. It may be a bit more difficult, but there are many lenders and brokers that can help you find a car loan that fits your circumstances. The interest rate may be higher than mainstream car loans, but you can get approval by helping build a solid case. Here are some ways to help you gain approval for a car loan despite having a lower than average credit score.

What is a credit score?

A credit score is a number out of 1200 (or 1000) that shows banks and lenders your creditworthiness, or “risk factor” for lending. The higher your score, the less of a risk you are. Lower scores indicate you have “bad” or below average credit.

Before applying for any type of major loan, you should check your credit score and your credit history. The latter gives you a list of credit applications, checks, and defaults over the last seven years. Sometimes, credit histories contain errors which you must fix. Fixing these mistakes may bump up your credit score significantly. You can find out how to get a copy of your credit history at the ASIC MoneySmart website.

Honesty is your best policy

There’s nothing worse than a shifty shop clerk or salesperson. We all expect sellers to be honest; and they expect the same of you. Just be upfront with your situation. 2.1 million Australians are under high financial stress; having access to credit can help your long-term situation. “Brokers and lenders understand your troubles more often than not,” says Savvy CEO and bad credit car loan expert Bill Tsouvalas. “Taking out a car loan is necessary, over 90% of Australians finance their cars. It can also be an investment. Having a car may enable you to travel for work, for example. So always be honest; it’s the foundation of any good relationship.”

Save or pay down debts

If you have other debts that are nagging you each month, try to redirect more of your income into reducing these debts. With recent changes to credit reporting (called comprehensive credit reporting), being consistently close to your credit limit on a credit card can harm your credit score. If you can save for a deposit for your car, this gives lenders confidence that you’re taking on some of the risk instead of leaving it all up to the lender.

Get bank and employment records in order

Showing your recent bank statements and payslips as part of your application is also an integral part to getting approved. Having stable or long-term employment is usually a prerequisite for any type of loan. If you can demonstrate you are responsible by avoiding credit card purchases or “buy now, pay later” services, this will assist your application; it may even help improve the interest rate you’re eligible for.