Posts Tagged ‘negotiate’

Colorado Springs Auto Loans – How to Get Guaranteed Approval even with Bad Credit?

It’s great to live in a city that has been chosen as the No.1 Best Big City in “Best Places to Live” by Money Magazine. The award speaks about the facilities that one can enjoy in Colorado Springs. You can make living in Colorado Springs even more pleasurable by driving your very own car.

When it comes to cars, car loans are important. But, do you think your bad credit will make it impossible to get guaranteed approval on car loans? You are worrying for wrong reasons because you can get a car with bad credit. Here’s how you can convert your slim chances of getting a Colorado Springs bad credit car loan to instant approval.

Wrong: Filling Applications Right Away

You must never fill the car loan application as soon as you feel the need of getting car finance. Actually, there are several things that you need to do before applying. We can divide every task related to getting guaranteed approval on bad credit car loans into Pre-application tasks and Post application tasks.

PRE-APPLICATION TASKS

Know Your Credit Score/Payment History

No matter the type of loan, every lender will want to know how you pay your debts. He will judge the credit risk associated with you by understanding your credit report and payment history. So, it is important to know it and improve it beforehand.

We know that credit bureaus mess up credit reports. So, get your free annual copy from Annualcreditreport.com. Analyze the entries and look for erroneous transactions. Under the Federal Law, you can easily remove wrong entries from your report if the credit bureaus cannot prove its precision. Removing wrong entries can definitely improve your credit score and place you in a better place than before.

Set Your Budget

Cars are expensive and if you don’t calculate your budget, you may end up paying more. When it comes to making huge commitments like car loans, you must know your affordability. It will help you avoid an unmanageable Colorado Spring auto financing program.

Calculate your budget by considering the car loan term. If you want to opt for a longer term, estimate expenses of certain future events like wedding, college expenses, home loans, etc.

Save Money for Down Payment

Down payment is important for lenders. If you can put a huge sum as money down, it shows your financial strength. The lender will consider you as a low risk credit borrower. It will also reduce your car loan amount.

But, we all know that getting even 10% of the car cost can be very difficult. So, start saving money for down payment from now.

Search for a Co-Signer

Your bad credit score takes a back seat when your lenders see a co-signer. Someone with a good credit score and decent debt-to-income ratio can work magic for your Colorado Springs car loans in Colorado. Finding a co-signer may take time and that’s why it’s better to start the job now.

Check Your Documents

When you have had financial issues in the past, the lender will be more interested in your income proof. Keep your current pay stubs and/or tax return statements ready. You can even ask your employer to provide an Employment Certificate. Arrange all your utility bills receipts because they can be used by the lender to ascertain your debt repaying ability.

Search for Subprime Lenders

When you have bad credit score, apply with lenders that have copious amount of experience in dealing with credit issues. Your approval chances will improve when you apply with lender that offers Colorado Springs bad credit car loans in Colorado. Also, you save time by avoiding stringent banks and other traditional financial institutions.

Make use of the internet to search for online auto financing that offer affordable car financing options. Most companies have a history of working with bad credit borrowers. So, don’t forget to consider them.

POST APPLICATION TASKS

Analyze and Compare Car Loan Quotes

When you apply with several lenders, you will receive many bad credit auto loan quotes. Analyze and compare each of them on factors like interest rates, monthly payments, APR, down payment, etc. Also, consider other aspects of the Colorado Springs car loan programs like loan term, conditions, fees and penalty.

Negotiate with the Lender

As you choose few auto loan quotes, make sure you negotiate with the lenders. Sign the bad credit car loan contract with only that lender who negotiates and offers you a better deal.

Choose a Reliable Car among the Alternatives

It’s always better to choose a car after securing the car loan because lenders may ask you to choose the car from a pre-decided dealer/s. They may even give you a pre-approved budget. So, select the car later and avoid any wastage of time and energy.

Don’t forget to get the car inspected from your trusted mechanic. It’s important to check the car title and Vehicle History Report because once you sign the papers; you cannot do much.

So, that’s how you can buy a car in Colorado Springs. Once you buy the car, keep making regular payments so that it improves your credit score.

If you follow these tips, getting a car loan and making payments won’t be difficult for you.

Wishing you instant approval on your bad credit car loan!

Rapidcarloans.net is known for offering instant approval car loans Colorado. Our lender-dealer network helps car buyers secure Colorado Springs auto loans irrespective of their credit history. We offer no down payment auto loans which means your car loan process is pleasurable with us. Apply now!

Be the first to comment - What do you think?  Posted by coloradocarloans - October 25, 2012 at 6:39 am

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Treat Dealership Auto Financing as a Game – You Win if You Negotiate

Every business survives itself on profit!

Dealers are in for business. They are also trying to earn their bread like everyone else. So, don’t think that availing loans from them is a bad idea.

You might think that it is risky to buy a car from dealers. There are chances of buying a lemon or salvaged car. But, don’t worry about the quality of cars. Most of the cars are bought from wholesale auctions. So, often the cars are new and are driven for lesser distance. All you need is a little bit of caution to find that perfect car.

Dealers are not bankers. They have tie-ups with finance companies and banks and work for a commission. Also, few automobile manufacturers have their own finance companies. Dealers can also help you avail finance from such captive finance companies.

It is not mandatory for you to avail car loans from a dealer. This is just a service offered by dealers and you can reject it any time.

Generally, banks won’t even touch your application if it mentions bad credit score. But, dealers are quite liberal in that sense. They finance bad credit borrowers and those with past bankruptcy as well.

Before you go to a dealer, it is necessary to work out a budget. It will be beneficial if you also have a vague idea about the type of car you want to buy.

You should be prepared for a great deal of marketing. The salesman will want you to believe that he is offering the best deal and you will not get any deal better than this.

Once you reach the dealer’s lot, be alert. You must never tell the dealer how much you want to spend on monthly payments. Don’t tell him about the trade-in until you have negotiated the price. If you do so, he will deduct the trade-in car’s value before only. You will lose chance of any further bargain.

You must remember that everything is negotiable and you must negotiate your interest rate, loan term, conditions and rules, rebates, down payment, etc. Don’t forget to ask about pre-payment penalty. You shouldn’t sign until you’re satisfied about each and everything.

Be wary of add-ons. They might be absolutely unnecessary. All these add-ons won’t do anything other than increasing your auto loan amount.

Rust protection, undercoating, paint protection, etc. are already applied at the factory. So, you need not pay the dealer for all this. It is better if you do it on your own.

Don’t pay the “Dealer Prep” fee. This is charged just to take off the plastic and prep the car for you. You can do that on your own. This will save some $300 for you.

You also don’t need to buy expensive anti-theft system from the dealer. You can get it installed from a shop at a lesser price.

So, while availing dealership financing, you must be smart and not let the dealer increase the purchase price. Once you understand your needs, you will be able to say no to unwanted schemes and offers.

Dealers try to offer you everything under one roof. Take advantage of it. You are no longer required to visit several lenders. This is very large benefit compared to all the bargaining.

Don’t consider all this a hassle. Instead, consider it as a game. Take it as an opportunity to experience and explore something new. You will win if you save and the dealer will win if you don’t negotiate.

So, go out there and win the game. All the best!

RapidCarLoans.net is always available to help you with your easy car financing needs. Our huge network of dealers/lenders will not stop until you have a car of your own. Apply now to get rid of your financial woes.

Be the first to comment - What do you think?  Posted by Rock Watson - January 31, 2012 at 4:50 am

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