Financial lenders require a lot of information from consumers in order to get a loan approval in, so we’re going to give you the guidelines of what you should bring with you on your next trip to the dealership.
1) First and foremost, know your credit score and history BEFORE coming in to the dealership. You have access to one free history report per year to see exactly what may or may not hinder your chances of getting a loan approval. You can hop over to www.annualcreditreport.com and pull all 3 credit history reports for FREE.
2) Next, you want to get a good idea of what your actual score is. This, however, is not usually free. We recommend pulling at least your equifax score which can be done at www.equifax.com and can range from $19.95 and upward depending on what you decide to choose.
3) Know the payoff for your trade in. If you have a current vehicle that you are looking to trade in it’s a good idea to call your lender, or go online, and get a 10 day payoff quote on your vehicle. This is needed to give you an accurate estimate on your vehicle that incorporates paying off your current lender. Your salesman will appreciate you having all of this information ahead of time as it will save you time.
4) Know the general value for your trade in. We all know how to check our trade’s current value with websites like KBB.com, NADA, and Edmunds. The other thing you need to consider is that every dealership has expenses that will go into your vehicle once that take it in. You will ALWAYS see a higher value listed on the aforementioned websites than what the dealers are going to actually give you. Please keep this in mind. Also, you will ALWAYS be able to get more for your trade if you take the time to sell it privately. Have reasonable expectations for what your vehicle is actually worth and it make your experience at the dealership all the better.
5) Bring your title. If your vehicle you are going to trade in is fully paid off make sure to bring your vehicle title of ownership in with you to the dealership. If you do come to an agreement on price, terms, etc… then you will need this piece of paper in hand to complete your purchase.
6) Have a reasonable monthly payment in mind. When everyone has access to the internet it only takes a few minutes of time to do a little research on what vehicles really cost in terms of monthly payments. A good rule of thumb is that for every $10,000.00 you borrow at a 0% interest rate on a 60 month loan you will have a $200.00 month payment with no trade or down payment. There are plenty of payment calculators out there as well that will give you an idea of what the payment would be with varying interest rates. If you know your credit isn’t perfect use these tools to get an idea of what the car you want to purchase would actually cost by over estimating a higher interest rate.
7) Bring your pay stubs. One thing lenders almost always require is two to three of your most recent pay stubs with an accurate year to date. Lenders what to make sure the information you provided on your credit application matches up in order to grant you an approval. If you are self-employed make sure you bring in 3 months of bank statements that show the deposits that match up with your monthly income reported.
8) Proof of residence. If you haven’t been at your current residence for more than two to three years than you are going to need to bring in a piece of mail with your name and address listed. Utility bills are generally the preferred documentation.
9) Money Down. If you have money set aside in order to assist your purchase please have it readily available. If you let the dealership know that you have money to put down they are going to require it at the time you sign your documentation. If you credit is less than perfect a good rule of thumb is to always have enough money down to cover your taxes, dealer fee, and tag fees. This usually comes out to around 10-15% of the selling price of the vehicle.
10) Patience. Buying a car takes a while. There are many factors that come into play from choosing the right vehicle, getting your information and documentation, submitting your deal for approval, and finally waiting on the right bank approval with the best interest rate. If you plan to buy a car the general rule of thumb is to set aside three to fours of your time to complete your process.
These are the top 10 things to bring with you when you go to the dealership for your next vehicle purchasing decision.
Interested in a new or certified pre-owned Kia in the treasure coast area? Schedule an appoint today and get the best price gauranteed!
The Kia Guys
5655 S US HWY 1
Fort Pierce, FL 34982
(561) 570-6479 – Ask for “The Kia Guys”