Car loans are not hard to get. No matter what your credit score is, in order to get almost guaranteed auto loans there are ten basic things you should have in place when you apply.
- Legitimate employment. Most lenders, even those who say they offer No credit check car loan will want you to have a job that is considered "legitimate employment". This means you should be allowed to work in the country, and should not be paid under the table. Employment you list must have a physical location and a person that can verify your date of hire and current income.
- Verifiable "other" income. If you are listing any other source of income on your loan application other than your job (such as alimony or child support) this income must be verifiable. You must be able to show legal documentation that this income is being received on a regular basis and has been received over a period of time.
- Pay stubs. Even though your employer may be contacted by phone during the verification process, you will still need to give copies of your most recent pay stubs for the lender to put in your file. Even lenders with used car loans guaranteed approved need this.
- Tax forms. You may need to show your last year's tax returns. If you are self employed, you may need to show two years' worth of tax returns. Guaranteed approved auto loans need this.
- Bills that come to your house. The lender of poor credit car loans may ask you to submit phone bills, utility bills, cable bills, or other invoices that come to your home. This is in order to document and verify your address.
- A current bank account. Your bank account information may be required by your guaranteed car loans lender for two reasons. First, this verifies your address. Secondly, if you are a bad credit applicant, many "buy here pay here" dealerships (dealers that finance their cars directly without going through a bank or outside lender) may require you to have a checking account that can be set up with auto debit out of your account on a set schedule.
- An increased down payment. Sometimes when you are not approved for a car loan even when they say guaranteed approved auto loans, it is not because you have bad credit, but because the lender thinks the loan amount is to high for you to handle. If you are able to increase your down payment you can reapply for a lesser loan amount once you do. Many times an increased down payment will get you approved.
- A co-signer. This may be a last resort, but if you have a spouse, family member, or close friend with good credit that is comfortable co-signing for you, a co-signer could get you approved. This may be what it takes for a used car loans guaranteed approved seller to approve you.
- Your credit report. Knowing your credit score is of the utmost importance. They even pull credit when they say approved no credit car loans. This will save you a lot of time because you will not be completing applications that will deny you.
Going to look at cars without having your financing in place is the way most people do their vehicle shopping. This is the opposite of how you should be shopping for a car particularly if you want one of the guaranteed approved auto loans. What you should do is have your financing all set up before you go kicking tires.
