Prepping for an Auto Loan

Shopping for a new car is an exciting venture. Whether you’re shopping at car dealerships in El

Paso or elsewhere in your neighborhood, nothing cuts short the endeavor of finding a car like a

bad credit score. Suddenly, your choices seem much scarcer. Fortunately, a few select auto

dealerships like Jack Key offer lenient plans for customers with poor credit. By offering a

reasonable auto loan plan, you might be only a few steps away from finally owning the car you

want, not just the one you can afford.

The first and foremost rule to applying for an auto loan is the preparation process; financing a car

is no simple task, you have to be rightfully prepared before getting started. That being said, here

are a few helpful ways to get you prepared for your upcoming auto loan.

Getting Approval on an Auto Loan

The first step in the process toward preparing for your upcoming auto loan is to be aware of your

credit score; if you have not run your credit score within the previous six-to-twelve months, you

should highly consider checking it through one approved secure credit check websites. Even if

you happen to check your score shorty before your loan appeal – making it nearly impossible to

improve before your loan – it is good to be aware of your credit history, and what areas you need

to attempt to improve on in the future. Furthermore, by being aware of your credit discrepancies,

you can also prepare for the upcoming credit discussion with your dealership once you begin

officially negotiating the loan.

If your credit score is not at a great point, the next step toward obtaining a loan is to prove to the

dealer that you will not be a credit risk; by bringing in a list of strategic financial documents, you

can show the your potential dealer that although your credit history might not look great, you are

prepared to take the proper steps to improve upon it. When going in to meet with your auto

dealer, remember to bring these three key items:

A recent pay stub from your work

A recent utility bill, and

Two-to-three credit references.

The pay stub will serve to inform the dealer that you have a steady source of income, while also

helping them come to an appropriate payment plan when formatting your loan. The utility bill

helps let the dealer know that you are able to make consistent payments, and will not let an

outstanding account balance build up over time. Finally, the credit references will serve to help

endorse you as loan candidate; credit references can range from previous landlords, to previous

employers, to close friends – just make sure to pick people who you know will give you a

positive recommendation.

Finally, one more thing to keep in mind before applying for your upcoming auto loan is to

remain practical about the process. In other words, try to find a car you like which also happens

to fall within your budgeted price range. However, shopping practical does not have to

completely sacrifice your wants – just know that if you decide on a vehicle that is outside of your

price range, you could end up making payments for longer than you even own the vehicle. Also,

make sure to factor gas payments into your monthly costs; for example, a specific SUV might be

cheaper than a sedan but when you account for overall gasoline consumption, the total price for

the SUV could be much higher in the long term.

As you can see, even with less than stellar credit, it is still possible to receive a loan for a new

automobile. Whereas some El Paso car dealerships might shy away from applicants with a poor

credit score, some dealers like Jack Key Auto Group want to work with their customers and get

you into the car you want at a reasonable rate. By going in to your application process with a

prepared and confident attitude, you will be just a few steps away from driving away in the car of

your dreams without having to break the bank.