Archive for January, 2011

Making Sense of Fudged Details Regarding Auto Loans

Friday, January 21st, 2011

Many companies dealing in auto loans both online and offline often make it hard for people to find out what is really going on and what they will really end up paying. These so called hidden costs of auto loans are sort of universal across all types of lenders which include banks and car dealerships. However even though many reliable companies dealing in auto loans do not try to fudge the facts it can often be difficult to find what is exactly being hidden from you. Sometimes the hidden charges and extra costs may be hidden in plain sight but disguised to look like a benefit. Read More…

Beginner’s Information On Auto Finance

Thursday, January 20th, 2011

Cars have always been considered an item of luxury by people who don’t have them and until a decade back, the numbers of people who could not afford a car were a lot. However, this all changed when auto finance procedures started gaining a lot of prominence and their popularity started in the online circles. However, many teenagers and people who haven’t taken auto finance seem to know very little about them. The basic thing which any applicant or future auto finance borrower should know is that the whole approval, rejection and different terms of the auto finance are dependent on the credit score of the applicants. The credit score is a simple rating system which is dependent on all the past borrowing and payment records of the applicant. Read More…

Avoiding Auto Finance Default

Wednesday, January 19th, 2011

Defaults can be a very dire situation in an auto finance procedure considering the fact that these defaults stick in the credit report for a good amount of time and seem to affect the credit score indefinitely. Many borrowers dread the circumstances in which they have to go for skipping payments or defaulting on the auto finance. Moreover, chances are that the lender might have to repossess the car and the borrower might go into an upside down situation because the installments that have been paid are not even amounted for the interest. Read More…

Avoid Score Reduction With Auto Finance Online

Tuesday, January 18th, 2011

It is seen that when a borrower goes to apply to any lending institution, the lender first checks the credit report of the applicant. This alerts the credit bureau that a check is made on the report of the applicant and they dock three points of the credit score for that. However, as they are aware that the borrower might go to several companies and lenders, they don’t dock the points again if multiple checks are made within one week or ten days of the start of the first check. However, in case of offline lenders and dealerships, the time taken for one to give their reply lasts for several days due to which the credit score gets depleted again if the borrower goes with another lender. Read More…

Auto Finance Without Any Interest

Sunday, January 16th, 2011

Almost every loan borrower can tell the experience that one of the most difficult things to comprehend is paying interest rate on auto finance. This is because the interest rate are seen to enhance the price of the car so much, that many applicants are surprised to experience that in a six or seven year loan, the borrowers would have to pay the lender a minimum of fifty percent extra price on the car. However, at these situations, there are a number of offers being advertised by the dealerships which are bound to seem more attractive to the borrowers. One of these offers is getting the auto finance and the car without paying any interest or zero interest auto finance. Read More…

Getting an Auto Finance Quote

Saturday, January 15th, 2011

When borrowers discuss amongst themselves regarding their financing experience, they discuss mostly about the quote that they got. Many beginners or people unaware regarding auto finance procedures wonder as to what the quote is. For beginners, the quote isn’t a phrase from English language (or any other language), it is the price quoted by the lender on the auto finance application of the borrower. When a borrower goes to a lending company and fills out their application, the company checks the credit report of the applicant. In the credit report, they examine all the things which have to be seen and also see the credit score of the applicant. Depending on the credit history of the applicant, they charge a specific interest rate on the amount that is desired by the individual. Read More…

A Simple Auto Finance Guide

Friday, January 14th, 2011

The people who don’t know much about auto finance should always first start with the knowledge regarding credit score and its importance to the lending industry. This score is the main criterion on which the applicant is judged by the lending community and this rating is just a mark of how the applicant’s credit history or all the previous credit lending and payments have been like. For example, if the credit bureaus come to know about the fact that the borrower has been making regular payments on the new loan then the credit score would improve but if there are any reports regarding defaults or skipping installments then the credit score would be reduced. Read More…

An Auto Finance Amount Calculation Procedure

Thursday, January 13th, 2011

Nowadays, apart from the estimated monthly installments, many lending experts are suggesting their clients to also amortize what sort of amount they should borrow on auto finance. Some consultants do it for the clients and the following lines present an idea on what calculations are done to find out the auto finance amount. Let the installment that the borrower is comfortable with equal to five hundred dollars. This is usually calculated by taking one fifth or one fourth portion of the income of the applicant and setting it aside for auto finance installments. Let the interest charged on the loan be equal to ten percent in this scenario but it should be changed to get a range of the auto finance amount. Read More…

Auto Finance and Rebates

Wednesday, January 12th, 2011

Every single day, a lot of dealerships around the country are introducing new offers on auto finance and automobiles in order to ensure that they get decent number of footfalls and they also get to make good sales. There are a number of offers which are seen by the borrowers but one of them which are bound to make them go for the auto finance is getting a rebate on the loan. For beginners, the rebate is a reduction in the loan amount of the car which is done by the dealership to enhance the savings of the borrowers. For example, if the borrower is going for a car and providing a certain down payment, then that down payment might not be required as the rebate is already reduced from the loan amount and the interest is charged on the difference. Read More…

How to Dictate Your Own Auto Financing Term

Tuesday, January 11th, 2011

Auto financing can be tricky especially for those who want to go beyond just visiting a bank or an auto dealership. There are tons of options out there however you need to know which option will work best in your particular situation. People with good credit scores and who have a positive history of paying of their loans can actually dictate some of the auto financing terms depending on who they are doing business with. Read More…