Why Getting Pre-Approved on a Car Loan is Important

Pre-Approved for a Car Loan

Buying a new or used car can be an exciting and daunting experience. You get the thrill of a new car, but you need to go through the entire car-buying process. In order to remove some of the headache from buying a new car, it’s a good idea to get pre-approved for a car loan. Doing this offers drivers in Nanaimo, Duncan, and Victoria a number of advantages, so check out why it’s a good idea.

You’ll know what you can afford.

Sure, you may be drooling over that luxury sports car, but when you get pre-approved for a car loan, you’ll know exactly what you can afford. Doing this will ensure that you make a smart decision and don’t overextend yourself financially. After all, if you buy a car you can’t afford, you will not be driving it for long. Instead, use a pre-approval to get an idea of what you can realistically afford, and then use that information to see what vehicles fall within your price range.

It quickens the sales process.

Everyone knows that buying a car can take some time, but it’s the vehicle financing that can eat up most of the time. When you have a pre-approval letter, it eliminates some of the paperwork that is necessary to move forward on the purchase. This way, you can get in and buy a new car without wasting your entire day at the dealership.

It makes you more attractive.

Most salespeople earn commission on their sales, and for some, commission is the only income. The last thing a salesperson wants to do is waste their time working with someone only to realize they can’t afford the car. When you arrive at a dealership with a pre-approval letter, you are more attractive to these salespeople. They will be more willing to help you find the right car, and they may even be willing to throw in some upgrades or negotiate the price to satisfy your needs.

It gives you negotiating power.

Knowing exactly what you can afford and knowing that you have the money available gives you the power to negotiate. Even if you find a vehicle that’s slightly out of your loan range, you can use it to your advantage and work with the salesperson to get that vehicle for the price you want.

Let Island Car Credit Help

Most dealerships will offer car loan pre-approvals, but Island Car Credit is the right choice for Duncan, Nanaimo, and Victoria drivers. Our financial team works with you to help you get approved for the right car loan and get driving away in a new car today. Visit our dealership at 2525 Bowen Road in Nanaimo, apply for a loan online, or contact us at 800.536.0583.