To negotiate the price of a new car is only half the battle. You also need to get approved for a loan that will make it a great deal. What happens if you have poor credit, and the bank rejected your application for a car? Here are some of the things that you may be able to do to get a better deal on auto financing.
Shop for the Loan Separately
Before you ever walk into a dealership and begin to negotiate the price of the vehicle, you should start filling out applications with financial institutions and respected online lenders to see if you qualify. Anthony Giorgianni, the associate finance editor for, “Consumer Reports Money Adviser,” says that most often we have seen how online banks will give you the best deal on car loans in Calgary. Credit Unions also tend to have loans at one to 1.5 percent lower in interest rates than traditional banking establishments.
Limit Loan Shopping
Each time you apply for loans, whether approved or rejected, your credit score will suffer, which makes it harder to get a good loan. If however, you fill out the applications within a two-week period, it will only count as a single inquiry, and your credit score won’t suffer as much.
Understand Your Credit History
Some credit cards will give you a free report of your credit history. If you have poor credit or zero credit, you might take a no credit auto loan. While it may cost a little more in interest, it ensures that you can get a loan.
The best auto loans will differ from one person to the next because each person has a different credit score. In some cases, you may need to fill out an auto loan bad credit application, but it could help you to finance your next vehicle.
We understand that purchasing a vehicle can be stressful and overwhelming, especially with bad credit. The experts at Easy Car Loan Approval are here to guide you and take the stress of the process off you.
For any questions or enquiries contact us:
Phone: 1(800) 774-0480
Email: [email protected]