What is a Car Loan Pre-approval?
A car loan pre-approval is when you are given a guaranteed approval on a car loan. The process of getting a car loan pre-approval will give you an idea of what car you can afford and how much you can borrow. Lenders will give you a set amount of money, a car loan amount, and the interest rate you will be charged. This will help you plan your finances and make sure you will have enough money to pay off the car loan. It is also the best way to get the ball rolling, and start the car buying process.
Advantages of Getting a Car Loan Pre-approval
Getting a car loan pre-approval is one of the best things you can do when you are looking to buy a car. Here are some of the advantages of getting a car loan pre-approval:
Free Consultation
You will get a better idea of what you can afford, what kind of car you should get, the amount of money you can borrow, and the interest rate that you’ll be charged. This will give you the information you need to make the right decision.
Save Time
When you are looking to buy a car, you will spend a lot of hours online and this can be a very time consuming process. By getting a car loan pre-approval, you will know exactly what you can afford, and what kind of car you should get.
Planning
You can manage your finances better and save money by getting a car loan pre-approval. You can also plan how you are going to pay off your car loan, and how much money you will need to borrow.
Peace of Mind
When you have a car loan pre-approval, you can rest assured that you will be able to buy the car of your choice because you are, theoretically, already approved for the loan.
Companies That Offer Car Loan Pre-approval
If you are looking to buy a car and you need to get a car loan pre-approval, here are some of the companies in Canada that you can check out:
Maritime Car Loan
Maritime Car Loan is an auto financing company that offers car loans with an interest rate that starts at 2.9%. Their repayment term is between 24 months to 96 months. They have an online calculator that you can use to determine your monthly payments. All you have to do is input the price of the vehicle of your choice.
Approved Auto Loans
Approved Auto Loans is another auto financing company that offers a loan amount up to $200,000 with a repayment term of up to 84 months. Their interest rate ranges between 4.9% to 12.9%.
Car Finance In Advance
Car Finance In Advance is a Canada based auto financing company that also offers car loan pre-approvals. They have a repayment term that is between 12 months to 96 months and weekly, bi-weekly, and monthly payment plans to choose from. The interest rate varies based on the loan amount and loan term.
Frequently asked questions
Why get a car loan pre-approval?
How do you get a car loan pre-approval?
How long before you get a car loan pre-approval?
Conclusion
Getting a car loan pre-approval makes the whole car buying process much easier. In fact, you can plan your finances better, and buy the car of your choice without having to worry about your loan application being rejected.