You have chosen to buy a car, and obviously you want to get the best price. But buying a car requires an important amount of money, and even if you negotiate the price of the car with the dealer, it’s not the only way you can get a discount. In order to afford this kind of money, many of us need to get a loan when buying a car. But did you know you can also negotiate your loan and get a lower interest rate than if you go flat out with what the dealer is suggesting? Read on to find out how to get a discounted loan for your new vehicle.
Make Sure You Have a Good Credit
When it comes to getting a discount, you want to have some leverage. Companies will look at your credit report and at your credit score to evaluate what kind of risk they have to face when lending you money. Many factors come into play when measuring one’s credit, such as the amount of time you’ve used a credit product, if your payments are made on time, and the number of different credit products you use (the more the better). Those are only a few examples, but you can find plenty of by calling Liberty Auto as to how you can improve your credit score.
Get a Preauthorization
Nowadays, it is easy to get a loan authorization at the click of a button. Some institutions, like Liberty Auto, specialize with online credit approvals, and deal with many different banks in order to give you the best possible interest rate. You simply have to fill out a form and you can get your approval within hours. You will want to have some information at hand, such as your employer name, your home address and the amount of time you’ve been living there, but really, the process is as simple as it gets. And rest assured, you can always give us a call if you have questions or need some help to fill out your request.
Don’t be afraid to mention you are shopping around, and bring your preauthorized deal to the table. Just make sure you make all your credit enquiries within a two-week period: they will therefore be considered as only one request on your credit report and won’t lower your credit score – banks might perceive it as if you are looking for cash fast or living above your means if you make repetitive credit requests. Keeping your enquiries within a boxed timeframe will have less effect on your credit since the credit bureau will see it as you shopping around – and that’s fine.
Your discounted loan awaits – Go get it!
So now that you’ve done your homework, you are ready to go and get the car of your dreams! Just make sure to remember that you can get a discounted loan, and not just a discounted vehicle. Keep your credit in check, apply for a preauthorization and shop around, and you’ll be amazed at the mileage you can make with that little extra effort!