December 11, 2001
By: Bev Dodd
Used car loan: Three steps for approval
When searching for a used car loan, consider these three tips to get you started. Try to find out the car's service history, determine your credit score and use the Internet for a great resource for a used car loan and other vehicle information. We'll discuss this more below.
When you find a vehicle to buy with your used car loan, you'll want to be able to piece together as much of the car's service history as you can. Be concerned about a car that's changed hands quite a bit-three or four times in two years. If the mileage is higher than 20,000per year or lower than 5,000, ask why. If a car has high mileage because its owner had a long commute to work, that's better than if a car was used on a delivery route. Stop-and-go use is a lot rougher on a car than freeway miles. Low mileage is a good thing, but you'll have to make a careful inspection to determine if the mileage claimed is too good to be true.
Your credit score is the most important factor determining whether you'll get approved for a used car loan, and what your APR will be. If your score is low, you'll pay extremely high interest rates on a car loan, up to 23%. If your score is below 750, you can forget about getting that elusive 0% car financing we hear about once in a while. Are you aware your credit score affects how much you'll pay for car insurance?
Don't forget to check out a used car loan on the Internet. Many sites offer online resources to help you determine how much you can spend and what kind of interest rate to expect. Use their car loan calculator to get a ballpark figure of how much your monthly payment will be for any given loan amount. Credit decisions are based on your credit, not the value of the vehicle. You determine the loan amount you need, fill out an online loan application and if approved receive a blank check in a matter of days.
more information on related products and services, please choose from the following menu of items:
Auto loans | Bad credit approval | Debt consolidation | Home buyers | Personal loan online | Refinancing
Bev Dodd is a successful author and publisher of http://www.family-refinance-consolidation-loans.com.
Many have commented that her website offers the best recommendations, links and information on loans, mortgages and financing.