Tips On Obtaining Vehicle Financing
It’s that time of year again when every car on the road starts to look shinier than your own, as you start to notice the many End of Year specials advertised by local dealers. Whether you’re looking for your 50th vehicle, or your 1st, buying a new Car, Truck or SUV can be an intimidating process, and if you don’t have enough Cash to cover the purchase price, you will likely need to consider a few Financing Options to supplement what you’ve already saved up. Here are a few handy tips and things to consider when starting your search:
What Does My Credit Look Like?
Having an idea of where your Credit Score lies can be a real advantage when considering your Financing Options. Sites like CreditKarma.com and AnnualCreditReport.com can be great resources that offer a free, limited glimpse into your current credit situation. While your score alone does not determine your overall buying power, it can at least will give you a general idea on where you stand.
What About Down Payment?
Let’s be honest, life throws many curve balls, and sometimes keeping your credit perfect can be exhausting, especially when shopping for a New to You vehicle. When presenting options to the Bank, it is important that if your credit is struggling or if you’re shopping for the absolute best rates, that you invest in the structure of the deal with a Down Payment. Think of it like this, what sounds more appealing to you, a $10,000 vehicle for $10,000, or that same $10,000 vehicle for only $8,000(using your $2,000 as a down payment), this is how the Lenders look at it, so if you really like that shiny replacement you’ve found, show the Banks you mean business by coming to the table with some firepower.
How Much Can I Afford Each Month?
This one is ultimately up to yourself and your own budget, if you have years of stellar Credit History and can afford an $800.00 per month payment comfortably and still pay your bills, the Banks will see that and likely grant you an approval with a great Interest Rate. If you are newer to credit or lacking in a lot of positive history, consider starting with a smaller payment on something fairly practical while you build up your Credit History, a couple years of successfully making small vehicle payments can make all the difference in the world when it comes to obtaining an approval.
Where Do I Go to Apply?
You must be careful not to harm your ability to purchase by having too many recent inquiries on your Credit History. Visiting Bank after Bank or filling out application after application, will only harm your score and can even influence an approval. If you are serious about shopping for a vehicle, try to keep your number of inquiries as low as possible, or utilize your local dealer to shop multiple different lenders without racking up multiple inquiries. Remember the Down Payment suggestion? This is a prime example of how having a little buying power can really influence whether a Bank approves your loan or whether you need to keep searching and inquiring.
At Shannon Motors we care that our customers enjoy a hassle-free buying experience, which is why we are proud to offer many different Financing Options to our clients, with all different levels of Credit History. Fill out our 30 second application at https://www.shannonmotors.com/ to begin the approval process.
Shop with Confidence
Here at Shannon Motors we believe that nothing is more important than the safety of yourself and your loved ones, which is why we are proud to include a 2 Year RI State Safety Inspection with all of our vehicles, as well as a 30-Day Warranty on our entire inventory, in addition, most of our vehicles qualify for a limited *2 Year, 24,000 Mile Service Agreement (whichever comes first) to keep you covered no matter the conditions.
*Available on most vehicles. Some exclusions and limitations apply. Please ask one of our Dealership representatives for details.
GET STARTED: Fill out our 30 second application at https://www.shannonmotors.com/ to begin the approval process.