Whether you’re in the market for a classic car or a pre-owned car from Alexander Automotive, deciding how to pay for the vehicle is a significant component of the car-buying process. While some drivers can afford to pay for a car in cash, most opt for car financing. To qualify for an auto loan, there are various factors to consider. Here are some tips for auto loan approval from the finance professionals at Alexander Automotive.
Your credit score is the primary factor determining whether or not you get approved for a car loan. Generally, a good FICO credit score ranges from 670 to 739, and a higher score is even better. If your score is currently below that, it might be advantageous to take some time to boost your credit score before applying for the loan. Generally, drivers with lower credit scores will receive loans with higher interest rates.
Have a Source of Income
A steady income is another crucial aspect to auto lenders because, in their view, it improves the likelihood that you will make your monthly payments. Depending on the lender and your job situation, you may need to provide one or more forms of documentation.
Consider Getting Pre-approved
Here at Alexander Automotive, you can get pre-approved for an auto loan. The process involves allowing a lender to run a soft credit check and review your credit report to determine your chances of getting approved. If you need additional assistance, you can utilize our handy payment calculator to see if an auto loan fits into your budget.
Talk to a finance professional at Alexander Automotive or apply online to get the ball rolling on your classic car loan.