Benefits of Putting Down a Higher Down Payment

When it comes to car loans, there are many elements you have to consider before you sign on the dotted line. Your down payment has one of the biggest impacts on your total responsibility to the dealership, so learning more about how a larger down payment can benefit you is important.

Better Financing Terms

The more money you walk into the dealership with, the more negotiating room you are going to have. This means that you might get better numbers or you may improve your chances of getting a loan if your credit is subpar. In fact, if your credit is poor, a higher down payment can make all the difference in you being able to secure financing and having more say in what you could qualify for.

Lower Total Interest Rate

The less interest you pay, the less you are paying overall and it also impacts your monthly payment amount. You have more leverage over your interest rate when you come into the dealership with more money down. Lower Monthly Payment The less you have to pay monthly, the better for your budget. It also reduces the risk of you falling behind on your payments. Your monthly payment depends a lot on the total loan cost, so anything that you can do to lower this will make your monthly obligation more manageable.

Lower Total Loan Amount

The more you put down on your loan, the less you have to pay back. This means that you might get a vehicle for less money which is ideal for those with limited budgets. You might also be able to pay your vehicle off faster.

You can see that saving up for a bit longer before buying a new car comes with benefits. Your salesperson can discuss your down payment with you and help you to choose an amount that best provides what you need.

Car Loans: 8 Things You Need To Know

If you are looking to get a car loan in the Lower Mainland, but have bad credit, we’ve got some news for you: you still qualify for a bad credit car loan. It’s important that you get as much information as possible about car loans before taking out a bad credit car loan, so we’ve assembled 8 facts about bad credit car loans that can provide you with a general overview. Contact for details about bad credit car loans or for more information:

1. Everyone qualifies for a bad credit car loan with us – even if you have had a bankruptcy or have no credit at all. All of our customers should have equal opportunities to finance their car purchases, so we won’t turn anyone down from a bad credit car loan.

2. You have options. We will offer several options to each customer so that the customer can select the right bad credit car loan package that’s right for their unique needs.

3. You can get a bad credit car loan for a used car, or a used truck or minivan. Our car loan program is designed to help you by any used car you’d like.

4. It often takes people several years to repay their bad credit car loans. Speak with our lenders to determine exactly what type of loan program you will use. Your choice of loan program will determine the duration of the program.

5. You may pay a higher interest rate for a bad credit car loan than someone with good credit. However, because of the options that we provide, you should be able to find a bad credit program that suits your particular budget.

6. You can always refinance your bad credit car loan. As long as your repay your car loan and rebuild your credit, you will have the option of refinancing your bad credit car loan down the road. Contact us for details.

7. You can apply for a bad credit car loan online using our secure credit application.

8. It’s recommended that you complete a credit application for a bad credit car loan prior to looking for a car. By completing the credit application, you’ll know more about how much money you’ll be able to spend on the car. Therefore, completing the car loan application is the first step for many customers.

Contact us today to learn more about bad credit car loans and car financing in general. We’re always happy to help you get the right car at the right price!

Types of Car Loans for People with Bad Credit

Sometimes in life, unfortunate things can happen that keep you from having stellar credit. You may rely on credit cards for a few months to get you through a difficult situation, for example. While a not-so-great credit score may keep you from securing certain types of loans, you have options when it’s time to purchase a car.

There are two main types of bad credit car loans: secured and unsecured. We can accept either to help you buy the vehicle of your dreams. However, it’s crucial for you to understand the difference before you make your decision.

Secured Car Loans

This type of loan can be beneficial for people with bad credit who have collateral to offer. You put up some insurance that guarantees payment to the bank, and in return, the bank can offer lower interest rates. This type of bad credit car loan has about a 95 percent approval rating.

Furthermore, there is often little or no down payment required to get a secured auto loan. Typically, the interest rate is fixed and can be as low as four percent. Be sure to speak to our financial team about this option.

Unsecured Car Loans

This type of loan requires no collateral, which can mean less risk for you. However, the less risk you take, the more the bank makes. As a result, unsecured car loans can be more expensive.

To get an unsecured car loan with bad credit, you may need a large down payment or trade-in value. Furthermore, these loans usually have an interest rate of seven to 10 percent, sometimes even higher. These interest rates can be fixed or flexible, depending on the bank.

Ultimately, it is up to you to decide whether you feel comfortable putting up collateral for your car loan. Talk to our lending team to set up your investment and get in a great car. We can help you no matter your credit score.

Pay Your Car Loans off Quickly

No one wants to be stuck with his or her car loan forever. As happy as you are with your new car, that doesn’t mean you’re ready to be saddled with a car payment for too long. Most people want to finish their car loan as quickly as possible. So, how do you pay off car loans quickly? Well, we have a few tips that might help you out.

Extra Payments

Extra payments will obviously cut some time off your car loan. For some, this may be as simple as one to two extra payments a year. You can even split the payments up throughout the year to add up to a full one.

Bimonthly Payments

Some people decide to pay their car payment once every two weeks. This may allow them to pay more than their regular monthly payment. Keep in mind that if you do go this route, you should make sure that your lender doesn’t have any problem with you splitting the payment. Some lenders may charge you an extra fee.

Rounded up Payments

There are a couple of benefits to rounding up your monthly payment to the nearest 50 or 100 dollars. The first benefit is that you can pay off your car loan faster. In the beginning, it may not look like much, but after a while, the payments will add up. The second is that your budget will be easier to keep track of. It is easier to add your car payment to your list of obligations when it’s a round number.

If you’re worried about your car loan taking too long to pay off, there are a few different steps you can take to finish your payments sooner than expected. The quicker you pay it off, the less interest that you’ll pay in the long run. This way you can save money and time.

Ways to Improve Your Credit Score

Your credit score is important. A credit report will likely be run on anyone applying for car loans. This report can help determine how much money you’re capable of borrowing and also the interest rate you’re awarded.

If you’re in the market for a car, it may be important to check your credit score before applying for a car loan. If your credit score is less than ideal, don’t panic! There are several ways to improve your credit rating. Some methods take longer than others before you start seeing results, so it’s important to stay focused and patient while you watch your score improve.

Make Timely Payments

One of the most important ways to improve your credit score is to make timely payments on existing loans. If you have a history of late payments, do everything possible to make the payments by the due date. Most credit card companies will allow you to change your payment due date. Use this to your advantage and structure payments around your pay schedule.

Pay Off Existing Debt

Lenders often look at your debt-to-income ratio when determining how much you’re qualified to borrow. If you have a considerable amount of outstanding debt on your credit report, perhaps consider getting a temporary second job and using the funds to pay off the existing debt you’ve acquired.

Open a Credit Card

If you’re a young person or are new to credit and borrowing, you may not have enough credit established to apply for a loan on your own. In this case, opening a credit card (and making all payments on time) can be a great way to establish some credit.

Credit is an important aspect of your financial well being. Making timely payments, paying off existing debt and establishing credit when you’re young are solid ways to improve your credit score.

You Can Get A Car Loan

Auto Approvals Today, we are proud to be able to offer car loans in British Columbia to all of our customers. Some of our customers come to us with excellent credit and qualify for very low interest rate loans. Other customers come to use with bad credit and qualify for competitive car loans that suit their overall financial needs. However, we are proud of the fact that we do not turn down any of our customers that come to us looking for car loans.

The question that we sometimes get from our customers is “how can you afford to give car loans to all of your customers.”

Here’s our answer: We believe that all of our customers should be able to receive a car loan if they need it. After all, not everyone has loads of money that they can spend to buy a car with cash. Therefore, we have a philosophy that we will partner with our customers in order to ensure that they are able to get a car loan that makes it possible for them to afford to buy a car.

Car loans are possible for everyone. However, the type of car loan that our customers qualify for may vary based on the credit history and their needs. Therefore, the first step that our customers need to take in order to get a car loan in British Columbia is to complete a credit application. From the credit application, we will learn more about their current financial situation and about their credit history.

We use a series of equations and formulas to determine what interest rate and loan amount our customers qualify for based on the information that they provide to us on their credit application. With this information in mind, we will meet with each customer to discuss their practical needs, which may include a real-life budget or other concerns that our customers have about their ability to afford to repay a loan. By speaking with us candidly about their financial situation and concerns, we are able to tailor a loan program that our customers are truly able to afford.

The best part about getting a car loan in British Columbia through us is that we can work with your budget as we determine which cars might be best for you. We not only understand your lifestyle needs, but also your financial needs and will make sure that they are both addressed adequately.

Contact us today to get started getting the best car loan for your needs and lifestyle.

Saving Up for Your First Car

If you’re a teenager, you want to buy your first car as soon as possible. However, even if you’ve looked at tons of used cars and feel confident you’ve found the one you absolutely love, it’s extremely important you consider the financial side of things before you come in to see us to make a purchase. Here are a few tips for saving up for your first car successfully.

Calculate How Much You Need

The first step in saving up for your first car involves figuring out how much you need. It’s important to remember that this doesn’t just include your monthly payment. You also need to factor in the cost of gas, insurance, regular oil changes, maintenance, and more. Then, figure out how much your income is every month and how much you can set aside for your first car.

If you aren’t planning on paying for the car all at once, determine how much you can spend on a car payment every month. Then, figure out how much you can spend on a down payment. Typically, it’s a good idea to put at least 20 percent down on a vehicle loan.

Find Ways to Save a Little Extra

Now that you’ve figured out how much you need to save to buy your first car, it’s time to start the actual saving. If you don’t have much of an income, try getting a job or doing things on the side for your friends and family members. For instance, you might try babysitting for a neighbour on the weekends. You may also want to think about cutting back on things you don’t really need, like eating out and going to movies.

When it comes to saving up for your first car, it can be done. You just have to be patient, be diligent, and make smart decisions as you get ready to make this important purchase.

What to Expect With Poor Credit Auto Loans

When you are looking to buy a car, but you have a history of bad credit, it can seem like your dream is over before it has had a chance to begin. Luckily, there are plenty of options available out there for those who are looking to buy a car but do not have the credit that they wish. One way to do this is with poor credit auto loans. Taking out this type of loan can help you get behind the wheel of the car that you wish in practically no time at all. There are a few things to remember when you are considering this type of financing.

Taking Out the Loan

The first thing that you need to keep in mind is the amount of the loan itself. The size of the loan will be determined by several factors. The price of the car itself can make a huge difference, so if you are looking at a car that is not within your reasonable budget you can expect higher payments over the course of time. The duration of the financing plan will also change what you can expect in payments. The shorter the timeframe, the higher the payments. Sit down and create a reasonable financial plan in order to make the best decisions for your poor credit auto loans.

Making the Payments

As with any loans, making consistent payments in a timely fashion is a wise idea. How you make the payments is entirely up to you. When you make larger payments each month, you will be done paying off the car in a much quicker fashion. However, if you can only afford a specific amount each month, it is better to stick with whatever payment you can afford that meets the monthly requirement so you can get your credit in better shape. No matter how you choose to pay back the loan, it is important to stay on top of your game throughout the process so that you do not miss payments or harm your credit in any way.

Reasons You Should Buy a Used Car

The idea of a brand new car is exhilarating, but for most people, used cars are more budget friendly and just make more sense. If you aren’t convinced that a used vehicle is the right choice for you, then you need to keep reading. We’re going to show you why buying used can be the best decision you make.

More Options

Buying used gives you a range of great options. Because prices are more affordable, you are able to look at vehicles you may never thought you could afford. This includes luxury designs and larger vehicles, like SUVs and trucks. In addition, you can get a lot of features for your dollar. You have the opportunity to buy the vehicle you really want instead of having to settle for only a couple options you can afford. This really opens things up and allows you to look at a range of vehicles you might not have even considered an option.

Reliability

One of the best things about buying a used car is that they generally come with all the “kinks” worked out. This just means that any manufacturer issues have often already been caught and fixed by the time you get the car. So, you get a nice peace of mind.

More for Your Money

In the past, buying used was often a gamble because cars really had a set life time. You knew if the mileage was at a certain point that there was a certain amount of life left in the vehicle. That is not really true anymore. Cars last longer. So, buying a used one really isn’t sacrificing too much. You will likely get more than enough acceptable life out of any vehicle you buy.

Before you completely write off buying used cars, take a minute to think about the reasons you should buy one. Used vehicles aren’t at all the stereotypical broken down, worn out vehicles that may come to mind. They really are great cars that have a lot to offer.

Borrowing Money for a Car Could be the Right Move for You

Car loans can be scary prospects for someone that has never been in debt or owned a car. At Auto Approvals Today we do our best to make first time car buyers feel at ease with the process, and our lenders are some of the best in Canada. We can cater the loan terms to fit your situation and help you get into the vehicle that you need for your daily commute or weekend jaunts into the wilderness.

Credit should not be an obstacle when it comes to shopping for the car that you need. Our trained professionals work as a team to provide you with the best experience and the best vehicle possible. Our salesmen will listen to your needs and match you with the right car, while our lenders will help you with a loan that will assuage any doubts you may have with regards to affording the vehicle. Count on us to work with you whether you have bad credit, mediocre credit, or a perfect score.

The loan process is one that has become common place at most dealerships across Canada. It allows one to get into a vehicle that isn’t immediately available to them because of price barriers, but that may be necessary for them to get and keep a job or to enjoy the great outdoors to the utmost. Borrowing money and responsibly paying off the debt is the best way to build one’s credit. We are proud to help people build their credit with car loans and to help people become more mobile in the vehicle and manner that best suits them.

Fear not the uncertainty of debt. Let the lenders and our friendly staff be the solace you need as a new borrower or car owner. Comfort in your financial and vehicular decisions can be assured when working with us as we work with you to build connections between the buyer and the road and the great country of Canada.