Monthly Archives: April 2016

What to Know About Down Payments

A down payment is a powerful tool in getting a car loan. The question is, for many people, how much money to put down as a down payment? The conventional wisdom, according to Edmunds.com, is that a down payment should be 20%. The problem with that number is how many people struggle with circumstances today that make them unable to have that much for a car at the time of purchase. How does that effect the number people need for a down payment?

Down payments have been steadily decreasing from that 20% number. The reasoning is because car prices are increasing, but the wages the average buyer is making has stayed the same. The average family has less money to use for something like a down payment. So they don’t have the extra income to spare, hence the decrease in the amount.

That still doesn’t answer an underlying question: how much should you put as a down payment? The answer, sadly, has no number, instead it deals in one general thought process. It is up to you to figure out how much money for a down payment is available to you. How much have you saved? How much can you comfortably pay up front? These are some of the important questions to ask if you want the answer to how much cash should you put as a down payment.

If you have bad credit or low credit and need to get a new or used vehicle, be sure to contact us at Approved Loan Store. Get started today by filling out our secure online auto loan application here, and for more auto news and buying tips, like Approved Loan Store on Facebook, follow Approved Loan Store on Twitter, and subscribe to Approved Loan Store on YouTube!

Steps to Rebuild Your Credit Score

Credit is a number that makes the world go round for so many and that’s why when struggling with bad credit, it can be a tough world to deal with. So much of life is structure around credit score and that makes it important to do everything in your power to have good credit and maintain it. If you’re struggling with bad credit, it’s important to know that it is never too late to start to rebuild and get yourself back in good standing. Here is some tips on how to rebuild your credit.

First, know your credit score. That means you’ll be needing to have your credit report, which is something you can do using such tools as AnnualCreditReport.com. This gives you access to the reports by the three major bureaus: Equifax, Experian, and TransUnion. When you have the reports that is when it is time to do some homework. Examine each one and look out for errors. Highlight each one and start the process on getting those removed. Errors that appear on your credit report can be a major hassle to get resolved, but the pay-off is worth the trouble.

Second, get caught up on your payments. Your ability to pay your bills regularly and on-time has a major impact on your credit score. That is why it is important to get your payments caught up. If you’re behind, all the hard work you’re doing to rebuild your credit may be in jeopardy. The best way to do this is to speak with the creditors and let them know what is happening in your life that has caused you to be behind. Work with them in establishing a way to get caught-up.

The next step is keep making those payments on time. Once you’ve put yourself in good standing and have a plan to repay your loans, don’t fall behind. You will look good to the bureaus if you’re paying your bills on time. Payment history is an important facet of your credit score and doing anything and everything you can to show this to be in good standing will be a fast and efficient way to rebuilding credit.

Fighting Back Against Bad Credit

So you have poor credit. It may seem like a mountain and is definitely difficult thing to have, but that doesn’t mean that you will be unable to get an auto loan. Most people seem to think that having bad credit is the end, to curl up on the bed and give up. What most people don’t realize is that even with bad credit, you can get an auto loan. An auto loan that can lead you to being able to fix your credit situation.

What needs to happen is action on your own behalf. You need to start taking the steps to fixing your credit problems and an auto loan is a great way to get started. The process to get started is with your credit report.

As with all credit issues, accurate reporting on your credit report is key. You are able to get your credit report from the three major companies, Experian, Equifax, and Transunion, once a year and you should. Those documents are so vital and most people don’t realize it. Comb over it and look for any and all discrepancies and make note of them no matter how minor. Once you’ve found them all, time to get them removed.

It is easier said than done. It may take multiple letters and will take time, but it is worth it. Getting any and all errors removed may show that your credit is not as bad as it seems.

Having poor credit is not a jail sentence, it is a wake-up call. Should you need to get something like an auto loan for a car that you need, knowing you have bad credit is the first step in getting it resolved.