There’s nothing quite like the euphoric rush of driving a new car. But more often than not, owning that brand new car might require taking out an auto loan. Without any previous experience and know-how, applying for a loan can be nerve-racking. But with proper guidance, it’s not difficult or complicated at all.
To maximize the chances of getting an auto loan application approved, take the time to do the following first:
1. Selecting the Right Car
Maybe the car you want isn’t quite within your budget right now. You might say: But that’s why I’m getting a loan, right? Fair. But keep in mind you have other expenses to pay for: gas and maintenance, for example, are things that you have to factor in. Make sure that you’re financially ready to buy the car you want.
2. Mantain good credit history
This should go without saying, but ensure that you’re paying your other financial obligations regularly. Show your bank that you’re a reliable and responsible debtor. Also make it a habit to pay all your bills on time.
3. Be ready with your downpayment
Your downpayment is a good indication that you can pay for the entire car in the months and years to come. Banks are more willing to approve your loan if you can show them that you can shell out at least 20% of the entire cost. The good news is, some banks offer low cash out options to make payments easier on the pocket.
4. Be diligent with information and prepare all the documents
This is probably the most basic on this list. Whether it’s a mobile number or home address, be absolutely sure all the information you provide is correct and up-to-date, and don’t hesitate to double-check—even triple-check—everything you put in the application form. Then have all the requirements on hand for submission. Ensure that you did not miss out any required document or information.
Now that you’ve reviewed these, consider one largely unspoken tip: Choose the right bank—such as BDO.
Applying for an Auto Loan through BDO is quick and easy. They offer low rates and flexible payment terms, and their process is simple that you can get your loan approved in as little time as 24 hours.
If you’re all set, click here so you can apply for a BDO Auto Loan now.