Tag Archives: interest rates

Lenders Allocate More Funds to Credit-Challenged Car Loan Applicants

As the country continues to recover economically, lenders are wooing consumers with better rates on auto loans, even for consumers with challenged credit.

According to Experian Automotive, lenders across the country have allocated more money to sub-prime auto loans while also cutting interest rates across the board and relaxing the terms of repayment. Experian Automotive called the trend “good for everyone,” and analysts hope that by relaxing the loan terms, the auto industry will continue boosting the overall economy.

Some have expressed the concern that if lenders relax their standards, unreliable people will get auto loans and won’t make their payments. The funny part about their theory, though, is that late payments are currently at their lowest rate in over a decade even as the industry is lending to consumers with challenged credit. It goes to show you that there are plenty of consumers who have run into problems in the past but are ready to rebuild their credit through an auto loan.

With interest rates down and better terms available, it has never been a better time to buy! Approved Loan Store wants to help you get into a car, no matter what your credit situation. Fill out our secure online auto loan application here, and you will hear from an Approved Loan Store representative in 24-48 hours. You can also keep up with the latest news and trends in the auto industry by liking Approved Loan Store on Facebook and following Approved Loan Store on Twitter.

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In China, Buying a Car is Just the Beginning

Earlier this month, USA Today published the story of a Chinese couple trying to get a car. To be more accurate, the couple had purchased a car but were waiting in a lottery to get a license plate. Due to the high population and equally high demand for cars, the government only issues a set number of license plates each month. There is approximately a 1-in-32 chance of getting one of those plates, and without those plates, a driver is out of luck. Besides the restrictions on license plates, Chinese drivers also have a tougher time obtaining a driver’s license. Not only do they have to pass the typical driving and written tests, they also have to pass a physical fitness exam that tests their strength and flexibility.

As I read this article, I thought about all the reasons why Americans who want a car or need a car don’t buy a car. It isn’t the right time, I’m too busy to research the car I want, I’d rather not deal with salesmen…there are a million reasons why potential car buyers don’t get a car. In most cases, no one is standing in their way. They don’t have to pass a physical exam or win a license plate lottery. Ultimately, it is a matter of convenience, and people get overwhelmed by all the car buying advice coming from friends, family, and the media.

This is why Approved Loan Store is different. No matter what your credit situation, Approved Loan Store can make the car buying process simpler.

Step 1: Fill out the secure online auto loan application here.

Step 2: Within 48 hours, you will hear from an Approved Loan Store Representative. They will review your information and set up an appointment with a Special Finance Representative at the nearest Approved Loan Store location.

Step 3: Meet with the Special Finance Representative, browse the inventory, and figure out a payment plan that works for you!

Check out video testimonials from real Approved Loan Store customers online here, and keep up with the latest new and trends from the auto industry by liking Approved Loan Store on Facebook and following Approved Loan Store on Twitter.

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As Auto Loans Go Up, Late Payments Down

As lenders are taking a second chance on credit-challenged consumers, lenders are being rewarded with the lowest level of late payments in over a decade.

60-days and higher late payments on auto loans in the first quarter of 2012 were at .36 percent, a 22 percent drop from the last quarter of 2011. It is also the lowest rate recorded since 1999 when TransUnion started following auto loan late payments.

Analysts have been noticing a drop in auto loan delinquencies since February this year, and it is encouraging that there has been a continued drop in delinquencies even as lenders are taking a chance on consumers with less-than-perfect credit. This is exactly why Approved Loan Store exists. We know that millions of Americans have survived tough circumstances in the last few years, but if they get the opportunity, they can make their payments on time and rebuild their credit with an auto loan. All they need is the chance to prove it.

No matter what your credit situation, Approved Loan Store wants to help you get into a car! Fill out our secure online car loan application here, and keep up with the latest news and trends from the auto industry by liking Approved Loan Store on Facebook and following Approved Loan Store on Twitter!

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Car Loan Lengths Increase in First Quarter

As car purchases are going up, car buyers are taking their time paying off their car loans.

According to Experian’s car loans division, the average length of a new car loan was 64 months in the first quarter of 2012, and 73 to 84-month-long auto loans have gone up 15.4 percent. On average, car loans ran about $25,995 which was $589 more than last year, and the average monthly payment was $461.

Analysts attribute these longer auto loan term lengths to an increase in auto loans for consumers with challenged credit. They want to take lower monthly payments to ensure that they will be able to afford their payments and won’t further damage their credit with a late payment. As this study makes the rounds in the news, I predict that the industry will see even more consumers with challenged credit applying for auto loans because they know that so many other consumers have been able to negotiate longer loan term lengths.

At Approved Loan Store, we want to get you into the car you want with loan terms you can afford! Fill out our secure online auto loan application here, and keep up with the latest news and trends from the auto industry by liking Approved Loan Store on Facebook and following Approved Loan Store on Twitter!

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Road Trips, Minus the iPad

Earlier this week, we told you how rising airline ticket prices were pushing families to reconsider road trips for their summer vacations. Well, apparently we aren’t the only ones who see the road trip making a come-back.

Yesterday, the Boston Globe published a story on phone and iPad apps that will keep kids entertained on long road trips. In addition to the obvious choices like Angry Birds and YouTube, staff writer Hiawatha Bray suggested games and apps that encourage creativity. He highlighted the iMovie app for the iPad 2 and the fun-but-educational Back In Time.

At the risk of sounding old-fashioned, I hope that families don’t spend their road trips completely engrossed in their iPads. I’m not against kids keeping themselves entertained during the long, boring stretches of a road trip, but road trips are full of wonderfully unique experiences that families don’t have during a flight. I view this shift from flights to drives as a potentially positive development for families taking their summer vacation, and I sincerely hope that they take advantage of it. You can get the whole family involved with road trip games courtesy of Disney Family Fun, About.com, and MomsMinivan.com.

Is your car road-ready for your family’s summer vacation? Even if you have challenged credit, you can get into a new car today with Approved Loan Store! Fill out our secure online auto loan application here, and keep up with the latest auto news by liking Approved Loan Store on Facebook and follow Approved Loan Store on Twitter.

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Buy a Car, Help the Economy!

Car shoppers looking to get a new set of wheels are doing more than upgrading their ride. They are improving the economy.

American auto makers have been posting record sales for their first quarter, and according to a report from Ward’s Automotive Group, auto purchases are exceeding a 14 million annual rate for every month so far this year. These numbers are translating into American auto makers reopening production plants, keeping their plants open during times of the year when they would be typically closed and keeping more Americans employed.

Car sales are often a good indication of how healthy the overall economy is. A decrease in car sales is an early indicator of trouble ahead since it shows that people don’t feel comfortable spending the money on a car. Let’s use an example of a consumer, John Smith. John Smith has an older car that has the occasional problem, but he doesn’t necessarily want to spend the money on a new car. Why wouldn’t he want a new car? Maybe he works a commission-based job and sales are slow, or his workplace is going through cutbacks.

Let’s say that John’s car breaks down, and it isn’t an easy fix. He has to get a new car, and in the meantime, he takes the bus to work. The bus runs late a couple of times, and John gets fired for tardiness. Now, John feels even less comfortable spending money on a car, but at the same time, he is still relying on public transportation to get to job interviews. John will be limited to jobs located close to public transportation and might miss out on higher paying opportunities because the daily commute is too difficult.

By not having access to a reliable car, John’s financial problems snowballed very quickly. On the other hand, studies have show that having access to a reliable car can lead to less dependence on public assistance and upward mobility in the work force. When all of these data and studies are added up, the conclusion is that Americans have yet another incentive to spring for a new car: They are improving the economy!

Are you looking for a new or used car? Are you worried that your credit isn’t good enough? Approved Loan Store can help! Fill out our secure online auto loan application here, and keep up with the latest trends in the auto industry by liking Approved Loan Store on Facebook and following Approved Loan Store on Twitter.

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The Top Names in Auto Reviews, All in One Place

After years of searching Edmunds, Consumer Reports, and MSN Autos for the best cars on the market, consumers can now get the most relevant vehicle reviews all in one place.

TotalCarScore.com is being dubbed the Rotten Tomatoes of car sites, and the similarities are striking. When searching for a car on Total Car Score, readers will get the TCS review plus an average score based on reviews from some of the top review sites. Unlike Rotten Tomatoes, though, TCS users can customize the sources that TCS is using to calculate the score, so if they didn’t agree with MSN Autos’ review, they can view the average score without MSN Autos.

After browsing the site, I think that car shoppers are really going to love the features that TotalCarScore offers. Aside from reviews, there are links to the manufacturer, online forums for owners, the owner manuals, and comparison tests. We love it because Approved Loan Store has access to a wide inventory of cars, and no matter what make or model, we can find it. Once our Approved Loan Store customers have set up an appointment with their Special Finance Representative, they can go to TotalCarScore.com and figure out which makes and models could be right for them. That way, they can come into their appointment prepared, and they can get into a great car quicker!

Are you ready for Approved Loan Store to get you approved? Fill out our secure online auto loan application here, and keep up with the latest auto news by liking Approved Loan Store on Facebook and following Approved Loan Store on Twitter.

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When It Comes to Cars, Buying Used is Buying Smart

In the first quarter of 2012, car sales are still on the rise with used car sales making up a large percentage of those sales, and according to Business Insider, the trend towards used cars is a smart choice.

Yesterday, Business Insider published their top 10 money mistakes “that everyone makes.” Most of the usual mistakes were on the list like paying a large interest rate on a credit card that gives miniscule cash rewards towards savings or buying the newest gadget on the day it goes on the market. Number 2 on the list, though, was buying a new car instead of a high-quality used car.

If I had to guess, I think consumers feel a bit safer buying a new car than a used car because a used car has history. They are afraid of buying a car that has hidden problems, or they have a certain level of pride that they don’t want to buy a used car.

Here is why Business Insider’s advice is completely right.

First of all, the value on a new car will drop very quickly. Car shoppers will pay through the nose for a new car, and if they go to trade it in even a few years later, they will get a fraction of what they initially paid. A new car is not a great investment. Second, there are so many fantastic used cars available at low prices, and car buyers can get the vehicle checked out by the dealership or a third party if they still feel unsure about buying used.

Approved Loan Store has access to a large inventory of used vehicles, and with our special financing programs, we can help car shoppers get into a great car, even those with challenged credit. Fill out Approved Loan Store’s auto loan application online here, and keep up with the latest auto news by liking Approved Loan Store on Facebook and following Approved Loan Store on Twitter.

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Missing Air Bags, Other Hazards Face Private Car Buyers

The price might be right for cars on Craigslist, but car buyers could be putting themselves at risk for hidden problems like missing airbags.

Today, a CBS affiliate in Oregon ran a story about how used car buyers need to be wary of missing airbags, particularly with private sellers. Sometimes the airbags have been stolen, and other times they were deployed and never replaced. Car buyers can’t even trust that the airbag light on the dashboard will indicate a problem. Thieves and scam artists have found a way to trick the airbag system so that the car buyer has no idea anything is wrong until it is too late.

Doug Hansen, an airbag repair technician, was interviewed in the report, and he had a chilling story for any car buyer, especially for parents buying a car for their teenagers. Hansen recounted, “We had a gentleman buy a car for his daughter going away to college. Bought it in a parking lot from somebody he met on Craigslist, and they brought it in and it was about 29-hundred dollar repair bill to make the car whole again, safety wise. The system was a fraud. His good deal wasn’t such a good deal anymore.”

Buying a car through Craigslist or a private buyer might seem like a bargain, but these hidden problems could end up costing thousands of dollars in repairs. In an accident, they could also lead to injuries or worse, the loss of life. You don’t have to take a chance to get an affordable used car. Approved Loan Store can help, even if you have challenged credit or no credit. Fill out our secure online auto loan application here, and keep up with the latest news and consumer education by liking Approved Loan Store on Facebook and following Approved Loan Store on Twitter.

Image: FreeDigitalPhotos.net

Auto Loan Approval-By-Phone: Why Approved Loan Store Doesn’t Do It

At Approved Loan Store, we get asked all the time why we can’t give car loan approvals over the phone and why our customers need to bring their driver’s license, Social Security card, proof of income, and other identification to their appointment. Yesterday, there was a perfect real-life example in Dedham, Massachusetts, and we would like to share it with our readers so they understand why approvals-by-phone simply don’t happen.

Arthur Roberts wanted to get a new car. His previous car had been repossessed, and he was looking to get a car loan. Rather than take less-than-favorable rates or a cheaper car, Roberts forged documents from Attorney General Martha Coakley’s office and a credit bureau claiming that he had been the victim of identity theft. As a result, he got approval for a $22,000 car loan.

It wasn’t long until the law caught up with Roberts. He was indicted last March, and yesterday, he pleaded guilty to one count of larceny by false pretenses and three counts of common law uttering. He was sentenced to two years in jail, but due to medical reasons, he was put on three-year probation. The conditions of his probation are that he has to report any purchases made over $3,000, provide his quarterly credit reports to his probation officer, and inform his probation officer if he applies for credit.

This is why approvals-by-phone do not happen. There is too much of a risk that criminals will submit other people’s personal information, claim that they earn a higher income than they really do, and commit fraud just to get a car. At Approved Loan Store, we set up appointments for our customers to meet with a Special Finance Representative so that we can verify all of your personal information. We do not and nor will we ever stand for illegal activities, and the best way we can prevent that is by insisting on approvals in-person and with the proper documentation.

Are you having trouble getting approved for a car loan? Approved Loan Store can help! Fill out our auto loan application here, and keep up with the latest news and consumer education by liking Approved Loan Store on Facebook and following Approved Loan Store on Twitter.

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