When you’re looking for a new or used car, the financing bit might seem pretty straight forward – get to a financier and get a quotation, sign for it and wait for the money. But did you know that you could be missing out on a better deal for car financing? The Smarter Finance Company gives advice to many customers over Australia about how to get a better car financing rate and here are some quick tips!
1 – Apply for your loan separately from the car
Looking at different lenders and car financing options before you finalise the purchase of your car can actually help you save money on your car! After looking at various quotations and confirming your loan amount at a particular interest rate, it makes it easier for you to look for better offers. Having a solid offer in your pocket can make things easier for you when you are scouting out cars. You can also use your existing offer as a gauge to see if dealerships can make you a better deal too!
2 – Decide quickly once you have a quote
When you are applying for a loan, the details are normally recorded by the lenders and whether or not you receive that loan or receive an approval, your credit score is affected because of the liability against your name for the amount borrowed. Once you’ve received quotes, try to make a decision quickly! Within 2 weeks is the optimum application time frame so that you can ensure that your good name and credit score remains intact!
3 – Get your credit score up!
And like we’ve mentioned above, the minute your credit score drops, so does your car financing loan! We know that you don’t want to pay anything less than the best price, so taking control of your rating is important even before you start shopping for car financing quotes. Working out your assets and liabilities and also becoming more stable is a great way to start getting your credit rating up.
4 – Look at the loan as a whole
If you focus too much on the monthly repayment amount, it may limit your options. Instead, speak to the financing companies a little more openly about how much you need for the car that you’ve got your eye on. A lot can be negotiated when it comes to monthly repayment rates – from the tenure, to options on deposits and balloon payments, to plain old haggling even!
We are all looking for the best prices and the best offers, whether it comes to car financing or not and a professional financing consultant or agency might be able to help you navigate the list of lenders so that you can get just that! Because we believe in acting on our customers’ best interest, we’ve made it our passion to ensure that the whole process is that much easier and that you get only the very best with The Smarter Finance Company!