It's pretty common for people to buy a car or truck using an auto loan. So, it makes sense that people are interested in getting the right auto financing.
When seeking an auto loan, people want to:
- Know that they can get a loan
- Secure an attractive rate for their auto loan
- Have auto loan options from sources other than the dealership
- Have an understanding of what they can afford going into the purchase process
That's why people look to get pre-approved for their auto loans.
Can you get pre-approved for an auto loan?
Here's the short answer: yes. People can be pre-approved for auto loans. However, the process for getting pre-approved for an auto loan won't be the same for everyone, and pre-approval is not guaranteed.
Like all auto loans, results may vary. Some people will get a better interest rate than others, and your interest rate will vary based on several factors, including your credit history (if you have no credit, review this article with a few tips). Whatever the rate, the main benefit of pre-approval is knowing what you can afford as your monthly payment. This allows you to make a more informed decision when buying your car or truck.
When you get pre-approved, your credit union will give you the maximum amount you can spend. Some credit unions, such as Visions, also have a list of auto dealer partners that may be helpful to you as you look for your new vehicle.
Pre-approval for an auto loan really provides several benefits:
- Establishes your budget
- Helps you calculate potential monthly payments
- Allows you to shop in a similar way to a cash buyer
- Provides solid options outside of dealer financing
- Simplifies the buying process
- Helps reduce stress (if buying a car stresses you out)
- and saves time!
With all of these solid benefits, you may want to explore pre-approval for your auto loan. It may be simpler than you think.
To discuss a pre-approval from Visions, visit a local branch or call us at 800.242.2120. If you have any questions, we have lending experts available to help you through the process. We're happy to help.
