Car loans?
Question by recruiter74: Car loans?
I am searching to get a employed automobile and I want to finance it via my bank. How do car loans function? Do I want to find a automobile initial or do I get the dollars from the financial institution first? What if I get a loan for 12k and I find a car that is 10k – do I want to give back the additional 2k?
Greatest answer:
Answer by Carol
It really is best that you uncover a automobile very first so the bank can inform you if they can loan you the money, possibly the individual is asking as well significantly dollars and so forth. If you just take a personal loan out for twelve Grand and only pay out ten for it I would pay the funds back since now your going to owe the increased quantity and possibly they will reduce your payments? You never want to take far more money than you genuinely require you are going to be in debt longer.
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Go to your bank and get pre approved,then look for a car. If I could I would buy from Atlanta. The cars there are cheap.
If you could pay to have it checked out,then shipped, you would save.
If you do it through your bank, you need to find the car you want first and then contact the bank becuase the bank will need the cars VIN number in order to start the loan process!
I would check with your bank first to see what the max they are willing to offer you based on your credit, accounts etc. Then take the pre-approval letter with you when you go car shopping to show that you have the funds needed to follow through on the transaction.
Good luck
What you do is the easiest way for you. Go to the dealership first. pick out what car you want, work on the price. They will right up a buyers order. This will have all the numbers on it . Price of vehicle document fees, tax, plate and title fees. You then take the buyers order to your bank or you can have the dealership fax the buyers order to them. If you think that your bank is going to be able to give you a better rate in interest then you think the dealership can, then you would go to the bank after this. Sign paperwork there and then bring in a check with your name and the dealerships name on it.
Go to your bank or credit union and get approved for a loan. Go to the dealership and buy the car. They write the contract or purchase order and you can take that to your bank or cu and your loan is for the amount of the purchase of the car. The dealer might have access to your bank or credit union directly and they can take care of all the paperwork. They might also be able to get you a better rate than the bank.
When you get approved through your bank, your going to just get a check for “that Amount” of you car. Also, these days, seeing that I’m also going through this, and my family has been in auto sales for 22yrs. Your best bet, if you can, is to get at lest a 2005 or newer, with no more than 32,000 miles on it. This way you can still get a factory warranty, or before making the deal, have them put one in the offer. But never ever tell them how much money you have, make the deal first.
And research the car you want.
Good Luck
First, figure out what payment you can afford. Make sure to include estimates for insurance, gas, and maintenance. Then go to your bank and tell them what you can afford as a payment–then they will tell you what they think you can afford as a payment! Once you have your funds secured, you should have the upper hand in any car transaction. PLEASE take some knowledgable about cars and car sales with you. Have any car you look at inspected by a mechanic outside of the dealer. Once you have agreed on a car and a price, the bank will cut a check to the dealer for the exact amount, and you will have a vehicle!