Buying a Car and applying for an Auto Loan can be a stressful and confusing time for anyone, even an expert. There are so many different people who have their opinions about where to buy your car, what kind of car to buy, what dealership to go to. It can make someone want to explode. In this video and article, I’m going to teach you how you can make the process a lot easier and less expensive.
Buying A Car At The Lowest Price & Interest Rate
When you start thinking about buying a new or used automobile, watch this movie first. I see too many people get stuck with a horrible car, paying a horrible interest rate. This makes it impossible to keep up on the payments and maitnance. Leaving the person with no option but to miss payments and get the car repossessed. This doesn’t have to be you. I was inspired to make this video because I helped a client of mine buy a $17,000 BMW SUV for $12,500. Her payments are $250 per month: Video. She went from having bad credit to driving a BMW for $250 per month. She said “There is no way I can fail now, I can afford $250 per month, it was WAY less than I ever expected.”
Watch the Video on How to buy a car at the lowest rate and price:
Did you like the video? Let me know! I want to help YOU save money.
Getting Approved For An Auto Loan With A Low Interest Rate
Check Your 3-Bureau Credit Report & Credit Score
The first thing you need to do is check a 3 Bureau credit report and check all 3 of your credit scores. You have two options, you can get an online credit report with scores (click here) that are just going to have a guesstimate of your real credit score or you can go to the FICO website and order a three Bureau credit report (MyFico.com). That’s going to show you your exact auto loan credit scores. I’m going to put a link below or you can go to do that now. What I want you to do is to pick out the credit bureau that has your highest credit score and ignore the other two bureaus. The reason you’re going to do that is because most Auto Lenders only look at one credit bureau when you’re getting approved for an auto loan.
Find Local Credit Unions That Give Auto Loans
The next step is to search on Google for local credit unions. When you’re searching for local credit unions in your area you’re going to go to their website and find out which ones have the best rates on a used auto loan and which ones seem to be the most aggressive about giving auto loans. You’ll notice quickly on their website if they’re not aggressive about auto loans they probably won’t have a section that talks about them.
What Credit Bureau Does Each Credit Union Check?
After you have found two or three good credit unions that are in your area, I’m going to recommend that you find out which credit bureau each Credit Union checks when you apply for an auto loan. Here is the link where you can cross-reference that information: http://bitly.com/CreditPulls and if it’s not there then what you’re going to do is just call the credit union and ask them which credit bureau they look at when you’re applying for an auto loan. After you have picked the right Credit Union for you, that’s going to look at your highest credit score, I want you to go to that credit union and open a checking and savings account with them. You’re going to put some money in the checking and savings accounts. I would typically recommend anywhere between $500 to $1,000, just to get some credibility with that credit union. Some credit unions pull your credit report as a requirement to become a member, if the credit union pulled your credit report, then I’m going to have you ask them to use that credit report as part of your approval for your auto loan. Then they don’t have to pull a new credit report, causing an inquiry. If the credit union didn’t already pull your credit report, I want you to wait a week after you got your checking and savings account and you have the money in your account.
After you wait a week then you can move on to the next step, which is starting the auto loan application process. You’re going to go into the credit union or apply online and what you’re going to tell them is that you’re looking to get approved for an auto loan, but you haven’t picked out the vehicle yet. Now is the moment of truth! Are you approved or are you denied!? If you’re approved, they’re going to give you a pre-approval letter and some of them even give you a blank check that you can take to your dealership or the person you’re buying the car from, right away. If you’re not approved, you’re going to need to ask them the reason you were denied and it may mean that you need some credit help. Well, I happen to know somebody that’s a credit expert so if you want the link to their website you can click it below. You don’t have to work with me you can work with whoever you are comfortable with.
After You Are Approved For An Auto Loan
If you’re approved, it means that you can go and buy a car from any dealership. Some credit unions even allow you to buy a car from a private party seller. Now, This is my personal buying option. I’m going to recommend that you do not shop at a standard dealership. If you want to get the best deal on a car, you need to go to an Auto Broker. Auto Brokers buy the car at wholesale and will charge you a flat commission, so you’re buying a car with Instant Equity. I don’t typically recommend you buy from a private party seller unless you know a bit about cars or you have a really good mechanic. You want to have your car checked out by a mechanic before you make an offer. The fact that you’re already approved means that you can go to any dealer or any private party seller and have a great negotiation standpoint with them, because you’ve got the money in hand. I want you to use your pre-approval as a negotiation to get the lowest price on the vehicle and do whatever it takes. If you are buying from a dealer, it’s really a good idea to walk away from your first deal. They will come back and make you a much better offer!
Please subscribe to us on YouTube by clicking here.
If you feel like you’re being taken advantage of in the buying process, I recommend that you just take it slow, be patient and get the help of somebody that’s an expert on cars. I hope this information has been extremely helpful for you. BetterCreditGuaranteed.com
