One of the best parts of car ownership is deciding what you want to buy and browsing the ‘for sale’ adverts online. It’s an exciting time and it’s hard to hold back, especially when you see The One – that top spec, low cost bargain that mustn’t be allowed to get away. The problem is, it often costs just a bit more than you’d bargained for.
Getting a car finance pre-approved is one of the most important points to consider when thinking about a new car.
Here are 5 ways that you will benefit from getting pre-approval before starting your car hunt.
1. Your budget will be more accurate
It’s easy to think you can afford a particular type of car, while not taking the many hidden costs into consideration. There’s nothing worse than falling for a fantastic car, only to find that actually getting it onto the road after you buy it could take you into debt. Pre-approval works your budget both ways – you may find that on your income and with your credit history, you can borrow more than you expected, so can buy a car that’s even better.
2. Your search will go more smoothly
Applying for finance before you’ve seen the car you want may feel like a delay. However, once you know exactly how much you have to spend, with all the underwriting paperwork completed, you have more chance of buying the vehicle of your choice. When your offer’s accepted, arranging payment for the seller is a quick and simple process.
3. Sellers will take you more seriously
If you’re buying from a dealer, they’re going to take you more seriously if you have finance already arranged. Most will want to organise their own finance for you, of course, but by gaining pre-approval with a broker, you can be sure you’re getting the best possible interest rate for the sum you need.
4. Your position is risk-free
It’s definitely risky to commit to a purchase without knowing whether you have approval for a finance application. If you sign for a purchase with a new or used car dealer, you may find you need to pay in a certain timeframe. Failure to do so may mean losing your deposit. With pre-approved finance, you can sign on the line with confidence.
5. You'll benefit from specialist knowledge
The process of applying for finance will bring you into contact with a broker as well as the lender. Brokers with many connections, such as 1800Approved, can help you not only with finance, but with vehicle sourcers and dealership contacts who can help you find the best priced vehicle available.
Above all, pre-approved finance will help you to avoid delay and the frustration of missing out on the car of your choice. Don’t delay – contact your preferred car financer today.
Are you looking for finance to help you purchase a new vehicle? 1800Approved is one of Australia’s fastest growing car and asset finance brokers. We specialise in finance, insurance and warranty services for vehicle and equipment purchases, and have previously arranged deals from AU$10k to AU$5m. 1800Approved services clients across Australia, working with over 30 independent lenders to find the best deal.
We can also help with sourcing your new and used car warranty, and by sourcing vehicles and equipment through our Drive Wholesale arm.
To learn more about how we can help you, call us today on 1800 277 768.
Image: NRMA