Personal Money Market Can Find You An Auto Loan
Start Your Auto Loan Application Today!
In today’s world, searching for the right auto loan can be a frustrating experience. Personal Money Market, however, can help ease your frustrations by filling out one of our auto loan financing applications.
We work with some of the best lenders in the auto industry to help you get the auto loan that is right for you. Personal Money Market is here to find you a used car or new car auto loan or a bad credit car loan that won’t break your bank.
The online auto loan application takes an average of 2.5 minutes to complete. Our system is incredibly fast; you will get a response almost the very moment you hit “submit.” Apply with us online now so we can help you get back on the road with an auto loan today!
Top 10 Reasons: Get pre-qualified before purchasing a vehicle
No. 1: Better interest rates
Many auto dealerships have two types of financing. Most refer your application to local banks and credit unions for approval. Some auto dealerships have what is termed “in-house financing.” Either way, you are going to be put on the spot to accept the likely higher than average interest rate required to purchase the vehicle. You can usually get a better interest rate on your auto loan by shopping around for a loan before you even step foot on a lot.
No. 2: More negotiating power
When you walk on a car lot and you inform the car sales staff that you are already pre-qualified for a loan, you will see a whole new level of respect from them. Pre-qualified auto buyers are their best customers. They love to see people like you walk into their showrooms. They know that all they have to do is get your auto finance lender to accept your vehicle of choice as collateral and the deal is done. They have less hassle and make more of a profit on buyers like you. That gives you power to ask for discounts and lower prices on your automobile of choice.
No. 3: Less stress
The most stressful part of the car buying experience is the financing. If you wait until you get into the finance manager’s office before you think about financing then you may be in for a rude awakening. Auto sales is a business full of what is termed “buyers remorse.” Once you pick the vehicle you like and then start trying to get qualified for financing through the dealerships, they will begin using psychology to keep you from backing out of the deal. Just talking about the price and interest rates can make anyone feel stress and anxiety. Finance managers know that and do everything they can to pressure you into finishing the deal. If you are pre-qualified for auto financing then you can skip that whole stressful step and just have fun picking your favorite vehicle’s color.
No. 4: More fun
When you already have a bank or other financial institution in your back pocket, the car buying experience becomes much more fun. The power is in your favor so you can be far more picky about the car you buy. It gives you the power to say “no” and go shop around to all the other car lots in your area to see which have the best prices for the types of vehicles you want. You would be surprised to find out the price difference between auto dealerships that are across the street from each other. It is fun to meet all the different personalities and check out what they all have to offer. Everyone likes shopping but it is only fun when you have the ability to shop around.
No. 5: More confidence
Many car and truck buyers have a humble attitude when it comes to their financial worthiness. If a car sales person sees that you will accept any car if he can get you approved, you are likely going to be pressured into the vehicle that they can make the most money off of. Be humble but confident. Once you know a bank or credit union is willing to finance you, there is a calming sense of security. Sales agents won’t be able to manipulate your emotions like they can with a buyer who feel insecure as to whether they could even get approved for a clunker. Speak and act with confidence when you are buying a vehicle.
No. 6: Less risk
When you are pre-qualified for a vehicle purchase you have a much lower chance of getting ripped off or having your identity stolen. Many dealerships are operated by back-yard mechanics who have put on a suit and shiny shoes. Many don’t know how to keep your personal information secure and safe. Because you shopped around for the right place to apply for financing before you began your car buying journey, you don’t have to give the dealerships a new application. That prevents you from having to disclose too much information. The more they don’t know, the safer it is for your identity.
No. 7: Cheaper prices
It is always good to keep the exact amount you are approved for to yourself. If you tell them you are approved for $15,000 they are going to try their best to give you the lowest valued vehicle they know they can pass off as being worth $15,000 to your financial institution. Knowledge is power and knowing what a vehicle is worth can save you thousands. Make sure you never pay the listed price or above. Dealerships always take offers into consideration. If you see a car for $15,000, try to offer them $12,500 or even $11,000. They will say no right away but if you ask the sales agent to present the offer to his “finance manager,” he or she will. They usually come back with a counter offer for slightly less than their original price. If you again counter-offer, they will consider it. Negotiation is a sign of intent to buy. They will whittle down to the lowest they can go which is usually $500-$1,000 above what they bought it for or took it in for on a trade-in.
No. 8: More satisfaction
When you get a vehicle for thousands less than it is worth, you will feel far more satisfied then buyers who drive their new car home with a feeling they were taken advantage of. No matter what the economy is doing there is always a dealer somewhere that will give you what you want just to make a sale. When you finance a car or truck, you are going to pay a large amount of interest. Hopefully you shopped around and got the lowest interest rates available. Many people pay double what a vehicle is worth over the 4-6 years they take to pay it off. That leaves a bad taste in many people’s mouths. Knowing you got a vehicle for far less than it is worth gives you the ability to feel better about the large amount of interest you are going to pay. Getting a great deal is always satisfying.
No. 9: Better quality vehicle
The Power of Pre-qualification Auto Loans
Because you are pre-approved for auto financing and you have gotten the lowest interest rate, you can afford a higher quality vehicle if you negotiate right. Because you are going to pay thousands less than other buyers, you can pay the same as they are and get that much better of a vehicle. This is true especially if you haggle with the dealerships until you get an outstanding discounted price. If the average buyer can only swallow paying a total of $25,000 for the life of the loan including interest rates, then they can usually only buy a vehicle listed for $15,000 or less. Since you have a lower interest rate and negotiate like a lawyer, you can possibly get a vehicle listed for $20,000 and still only pay $25,000 for the life of the loan which counts interest. Do you think there is a difference between the quality of a vehicle for $15,000 and $20,000?
No. 10: Better overall experience
Now that you can image yourself taking all the right step, let’s describe your car buying experience in detail. You shop online and through banks and credit unions for the best interest rates. You don’t take the first offer but get pre-qualified through more than one. You are not worried about your credit getting hurt by multiple applications because they were all within a couple days of each other and count as one attempt at getting qualified. Once you find out how much you are approved for and the interest rates that you will be paying, you get excited. You take that letter you received in the mail and jump up and down smiling like crazy. You get yourself back together and start car shopping online.
Imagine yourself getting started
The first thing you do is decide which style you like and what features you need. Then you start checking prices for the vehicle of your choice. You look at several different website and check the value in Kelly Blue Book but know that you are going to have to see the car or truck in person. You select a handful and start calling them to see if they even still have the vehicle on their website. Once you decide which dealerships you want to visit, you leave your home and start your journey with the confidence and knowledge you need to get the best price and the highest quality vehicle.
You feel great displaying your new found confidence
As you walk into the dealership, they take notice of the strength in attitude you display. From the beginning, you get the best treatment. You already know the value of the vehicle if you were to trade it in from looking at the Kelly Blue Book. So the trade in value is where you want to start your negotiations from. Because of your knowledge of the vehicle, your auto loan pre-qualification and your confidence, the auto sales agents don’t even show you their less than stellar tactics. You get red-carpet treatment the whole way. Once you negotiate back and forth on a vehicle, they sternly give you their last offer. You tell them you are going to shop around for a better price and you may come back.
You can just walk away if you have to
They will either let you have what you want or they will let you go. If they let you go then you know they are firm on their price. You then go to the other dealerships you investigated online previously and begin the same process with them. Once you do this to at least 2 or 3 dealerships then you will know for sure how low you can get the price down. You then call the one with the lowest offer and make another offer. “If you throw in GAP Insurance and the Extended Service Agreement I will take it.” Many dealerships will jump on this.
GAP insurance explained
GAP insurance is a type of insurance that pays off the difference between what you owe on a vehicle and what it is worth in case it gets totaled. Example: You owe $12,000 left on your vehicle but due to some unforeseen circumstances, the value of the vehicle dropped to $9,000. You get in a wreck and your insurance is only wiling to pay $9,000 for the totaled vehicle. That would leave you owing the bank $3,000 and no car. GAP insurance would cover that $3,000. GAP insurance is sold by dealerships usually for $500 – $800. They buy it for far less than that. In some circumstances it could be even free to them. Demanding this to be thrown into the deal saves you money and doesn’t cost them much.
Extended service agreements explained
Extended service agreements, are structured similar to warranties. You can get things fixed when they break at no fault of your own. Many of them don’t cover much but some are pretty decent. Extended service agreements are typically sold for $500 to $3,000. Again, this is something dealerships can throw in at little cost to them financially. It saves you a bundle, especially since they are usually rolled into the financing which you pay interest on.
Create your own rebate
If you cancel either the GAP insurance or the Extended Service Agreement you are usually entitled to a pro-rata refund. Usually they deduct 15% per month you don’t cancel. As soon as your financing is finalized and you have the vehicle in your possession you can cancel. Many times this means you can get several thousand dollars back in the mail. It is almost like a rebate. Extended service agreements are typically worthless in real life. The best use of this money, of course, would be to pay a lump sum on your financing contract. The more you pay on the principal, the less interest you pay and the cheaper the car is in the long run.
Thanks for reading
We hope you liked the information we have provided to you. We are not financial advisers or legal attorneys so anything we have stated is for information purposes only. We highly advise you to seek the advice of experts before making any financial decisions. We hope you appreciate the information and decide that you would like to get pre-qualified right now.