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Obtaining a loan for a used car loan is very hard during the credit crisis. Previously Buying second hand car could be done with sufficiently ease and simplicity. Back then, these factors were insignificant even for those with marginal credit. Those with good credit receive car loans easily, but people with lower scores can also receive loans through specific companies. As companies tighten their budgets, it gets harder to find used car loans.
Banks and other financial institutions have strict guidelines about car loans. They follow the prescribed parameters strictly when they have to approve someone's loan for used cars. Private finances and other lenders will not loan to people with average credit, much less poor credit.
One small mistake in the past can mess up a buyers rating and end up being the reason car loans are denied. Typically, firms related to vehicle loans don't think about a single bad deal as a huge offense. If you continue to have a poor record then the loan will be denied. Previously a down payment of only 0 to 10 percent was usually available but now a 20 to 30 percent requirement is normal. Even if they had luck getting a loan in the past the fact is that those days are over, and the economy being what it is they can only expect to come up against very high interest rates.