What Happens After Bad Credit Car Loan Pre-Approval?
Getting pre-approval on a bad credit car loan can be a really exciting time. You feel as though you’re finally moving forwards with getting a bad credit car loan and it’s a step in the right direction to getting on the road.
If you’re unsure about the next steps to take or how the process continues from here, don’t panic. At Loans for People With Bad Credit, we understand that the bad credit car loan process is daunting and we’ll be there to help you figure out exactly what you need to do and when.
Find out how we can help you with bad credit car loans.
Understanding bad credit car loan pre-approval
If you’ve got bad credit and want to apply for a bad credit car loan, you’ll benefit from knowing exactly where you stand – especially when it comes to talking to sellers or dealerships about exactly how much you’re able to spend on your car.
Car loan pre-approval requires you to find the lender that you want to borrow money from for your car loan. By doing this, you can then work with them to go through key details such as your credit score and your financial situation. The lender will then pre-approve you for a specific amount, allowing you to negotiate with your dealership or seller on the price of the car.
Based on this, you may also be able to discuss with your potential lender the type of car that you want to buy – this helps if you’re looking to get car loan pre-approval with a specific vehicle.
It’s understandable if all of this sounds overwhelming, and that’s why we can be with you each step of the way to make sure that you’re on track and are getting the best deal for you.
The next steps
Congratulations! You’ve got car loan pre-approval with bad credit. This is a really exciting time, but it’s also important not to get carried away as remember that things aren’t guaranteed and getting car loan pre-approval doesn’t necessarily lead to your dream vehicle.
You’ll need to follow these steps after you get pre-approval for bad credit car loans:
- Start looking for the specific vehicle that you want
- Negotiate the price of the vehicle with the seller based on your pre-approved amount
- Resubmit your loan back to the lender, making sure you include all the necessary information about the car that you want to purchase
- The lender will carry out further checks to ensure everything is in order – after this, you should receive unconditional approval
- Once you’ve got unconditional approval, you’ll be on your way to settling the loan and the money will soon be transferred to your bank account ready to purchase your vehicle.
Once you’ve used your car loan pre-approval to settle a loan and get the vehicle that you want, it’s really important you do everything you can to pay back your bad credit car loan in full and on time.
Try to get organised and make sure that you set up a direct debit (or at least reminders to yourself) so that your payments are always on time.
Remember you’ll need to keep a reserve of cash for running costs of the car, such as fuel, insurance, and registration, as well as a little extra for any unexpected breakdowns or maintenance costs.
Ask for help
At Loans for People With Bad Credit, we have years of experience working with people who have bad credit to get car loan pre-approval. Our expertise as a bad credit lending specialist means we can quickly direct you to the right lenders for you – meaning your chances of car loan pre-approval will be greater than if you simply spend hours by yourself looking for the right match.
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