At Approved Loan Store, we work with a wide range of customers every day. For some of them, they have gone through the car buying process before, and this is their second or third car. For others, however, we are helping them purchase their first car. Buying your first car with good credit can be intimidating, but buying your first car with poor credit or no credit can be downright frustrating. Over the next few weeks, we will answer some of our most-asked questions here on the blog, and we encourage our readers to comment below with any other questions you would like us to address!
Question: What is a DTI, and what does it have to do with my approval?
Answer: DTI stands for “debt to income.” It is the amount of money owed by a person including rent, utility bills, car insurance, credit card bills, etc. compared to the income earned by that person. A person’s DTI determines how much they can afford to pay for their car each month. People with less debt and higher income will obviously have more options available. They can make a down payment or negotiate higher monthly payments for a lower interest rate.
Consumers that don’t have an optimal DTI, however, should still apply through the Approved Loan Store. Our special finance representatives have years of experience helping customers to get into cars, especially customers with challenged credit. As part of our one-on-one customer meetings, the special finance representative will explore all available options and find the best plan to suit each customer’s needs.
Still have questions about our program? Give us a call toll-free at 877-217-2217, or visit us online at www.ApprovedLoanStore.com. You can also get more car buying and credit tips by liking Approved Loan Store on Facebook, following Approved Loan Store on Twitter, and subscribing to Approved Loan Store on YouTube!
Image courtesy of digitalart / FreeDigitalPhotos.net