Should you arrange for private auto loan financing when you have bad credit? The simple answer is yes if you want to save money. Relying on dealership financing makes you the victim of high rates and limits your car buying options. By securing your car financing before you shop for a car, you get the chance to find the best available car loan. Not only that but you are free to negotiate the best price for that car. Car dealers will not only give you the worst possible terms but they will sell you additional options. like car warrantee, windows etching and GPS tracking that will cost you thousands. They will tell you that these options are mandatory from the lender but it is not true. Even if you do go with car dealer financing, you can refuse them.