Why Car Loan Pre-approvals are a Great Place to Start
Author: Steffan Marco
Time for a new car?
We would hazard a guess and say the first thing you’re going to do is head to a car dealership or start looking at cars online. This is the natural first course of action for most and makes sense, but that doesn’t mean it’s necessarily the best one.
When looking for a new car, car loan pre-approval is a great place to start – lee me tell you why.
Make car shopping easier
With so many cars to choose from, shopping for the right one can be overwhelming. Starting the process with a pre-approved car loan will make the decision easier.
A pre-approved car loan will ensure you know exactly how much you can comfortably borrow, what your finance structure will be and determine the cost of your repayments. Thus, shrinking your car shopping pool and making choosing the right one that much easier.
We all know that dreaded feeling of disappointment when we’re excited about something, only to find out it’s no longer happening. It’s not a nice feeling, is it?
The last thing you want to do is a find a car, test drive it, fall in love with it, get excited, show your friends and family photos and dream about it, only to have your car loan application rejected.
Applying for car loan pre-approval avoids this.
Need to negotiate? Having car loan pre-approval will help.
A huge benefit to a pre-approved car loan is that it gives you an advantage when you need to negotiate the price of your new car.
You know how much you can spend, so you can make an offer there and then.
Whether you’re buying your new car from a dealership or a private seller, you’ll be in a better position with a negotiation ‘edge’.
The car loan pre-approval process
Now you know why car loan pre-approvals are a great place to start, but what’s the process?
- 1. Ensure you have all the necessary documentation
When applying for car loan pre-approval, you need to supply proof of income, ID verification, and proof of residence
- 2. Submit your application
You can apply directly to your choice of financial institution, or through a broker like AutoCarLoans who has access to multiple lenders for greater loan options.
- 3. Wait for your application to be assessed
Now all you have to do is wait. Some brokers and financial institutions will even get back to you on the same day
- 4. Get car shopping
Has your loan been approved? Time to get car shopping!
When looking for a new car, a car loan pre-approval really is the best place to start.
Not only will this make the process easier, avoid disappointment and give you an ‘edge’ come negotiation time, it will give you peace of mind too – and we all want that!
Ready to apply for your car loan pre-approval? We can help.
Apply online or over the phone today. (Apply online , 1300301051 and email@example.com)
DISCLAIMER : The thoughts and opinions conveyed on this website are those of the authors only and are of a general nature. This does not constitute financial or general advice to you from Auto Loans Group. You should seek your own independent advice from a professional which is specific to your circumstances before considering any of the items referred to in this article, including finance, insurance, and car buying.