The benefit of pre-approved car finance is undeniable – it gives you the ability to negotiate as if you have cash in your hand, so you have the power when making a deal. It also helps you to know your limits, thereby neatly avoiding over-buying, and the debt that always follows. And finally, if you work with your dealership to create a finance plan, it puts everyone on the same page regarding what kind of car you can afford, and what would be a waste of time.
But how do pre-approved car loans work? Take the time to read this blog, and be sure that you’re heading into your car-buying journey with your eyes wide open.
How Car Loans Generally Work
If you look into most of the places that provide car loans in Auckland, you will find that said loans fall into one of two categories: secured or unsecured. A secured car loan places a valuable asset of yours as collateral – so, in the event that you cannot pay your loan, the insurance company is able to repossess that asset and sell it to regain their lost money. An unsecured car loan does not have this feature, however they typically have higher interest rates because of the risk involved.
You choose which one you want to apply for, request how much you need, and provide all of your necessary contact and verification information to the insurance or loan company. Most loan company websites also feature a loan calculator in order to project what your repayments will look like over the course of your loan term.
While this process does work for a lot of Kiwis, many people feel that dealing with more than one company when buying a car can quickly become overwhelming. After all, purchasing a car is already a big decision on its own without the added pressure of liaising with two entirely different companies.
How Our Easy Finance Works
We’ve been in the business of buying and selling cars for quite a few years now, and if there’s one thing we understand it’s that you want to get through it as hassle-free as possible. That’s why we offer in-house financing for all of our vehicles.
If you check out our available vehicles, you will notice that each one is listed with a price-per-week amount, which indicates an estimate of how much you would repay per week should you invest in that car. We value transparency in our loans because it keeps everything on the level – if you understand what you’re getting into, you can make the right decision, and we can satisfy another valued customer.
Applying for a Loan
We’re committed to responsible lending here at Motor Co. If one of our European or Japanese used cars has caught your eye online, simply click the “Apply Now for Finance” button to send an enquiry to one of our helpful agents, and they will be in contact with you as soon as humanly possible. If you’re still looking, no worries – you can either contact us directly, or send an enquiry from our Easy Finance page.
The agent you speak with will ask for some information about your current financial situation – including your income and any other loans you currently have – as well as enquiring about what kind of loan you are after. We want to tailor a finance package that you’re comfortable with, so the more information we have the better.
Secure Interest Rates
Similar to a secured loan, we’ll also work with you to figure out if you can place a deposit down on the vehicle that you’re after. This is to indicate that you’re able to hold the vehicle while paying off the loan, and it also helps to keep our interest rates as low as we can. But if you don’t have another vehicle to trade in, or if you can’t afford to place a deposit, don’t worry! Give us a call anyway and we’ll evaluate your circumstances to see if there’s a solution that works for you.
Once your loan is approved, you can walk onto the lot with all the power of a cash-in-hand buyer. And if you were applying for finance for a specific vehicle, once you’re approved that vehicle is yours! That’s what we mean by hassle-free.
Get on the road with a price you’re happy with
Talk to us about your finance options, apply easily online, and discover what a hassle-free loan process really feels like. We also have great options for warranties and insurance on your vehicle available, so check us out today!