Sun, Jan 22nd - 10:53PM
How to Buy a Car Being a College Student?
Cars were just a mode of transportation. This was when they were considered nothing but plain-simple automobiles. Today, cars are loved and pampered and they definitely make bold statements.
For AmericaÖWe are simply a nation of car lovers! From a toddler to the elderly, everyone is just passionate about cars. Car is a dream for many and itís great when you get to achieve your dream at an early age.
But buying a car in college seems impossible, isnít it? There are several reasons for it like lots of money, ridiculously high interest rates, deceiving dealers and lenders.
Well, the reality will be exactly opposite for you. Think itís a gag? Itís time you reconsider buying a car because students now have the option of getting pre-owned as well new cars and that too at affordable interest rates.
How is that possible? The answer is a bit of awareness and some smart work. When you decide to buy your car and probably your first one, it is essential to have an idea of cars and lenders who will finance you. This article is an earnest attempt to help you with car buying. So, letís start by solving the confusion of buying a new or a pre-owned car.
Old or New - What Do You Like?
Every car buyer has to answer this question. New or old is a major dilemma and is as old as the origin of car. It is essential that you study the pros and cons of every car before buying it.
The major plus point with a used car is its cost. If you have a tight budget, this is your best choice. If you get a manufacturer certified pre-owned car, then itís like buying a new car at lower prices. As the manufacturer approves the car, you can stop worrying about shady dealers manipulating your purchase. You can buy luxury brands like Lexus and Mercedes with their CPO programs and feel relaxed about your decision.
If you love the smell of a new car, then you can go for a brand new sparkling car. A new car will definitely be low on maintenance and will be covered under manufacturerís original warranty. If you decide to buy a new car, then thereís some great news for a student like you. Just like the pre-owned cars programs, manufacturers also offer incentives for buying a new car. Nissan offers Signature GRADUATEģ for college students and those enrolled in graduate school. Even FORD offers incentives for students. When you buy a new car from FORD, you will receive $ 500. You will also get other current public incentives offered by FORD. All you need to have is the Proof of Student Eligibility.
How to Choose an Auto Lender?
When it comes to buying a car or for that matter any other thing, money is the pre-requisite. Everyone says that ready money is a faithful friend but you must keep in mind what Benjamin Franklin said, ďRemember that credit is money.Ē
All you need to do is find a trustworthy lender. Now, the best and easiest way to get to lenders is the web. There are several online auto lending companies that offer student auto loans. Keep in mind to go for only those companies that offer no obligatory/free quotes.
If you select a company that has a single lender, it would be a disadvantage for you. Why? You will obviously apply on several websites which means there will be many checks on your credit report. It will lower your credit score unnecessarily. So, make sure you select a company that has a network of lenders.
How to Fill an Online Application Form?
Filling an online form is not difficult. The only problem is that you donít have any one from the lenderís side to solve your doubts. You will have to solve all your queries by mailing the company.
To avoid wastage of time in mailing and waiting for the answer, here are few of the common things required by the lender.
You will have to give your basic information such as name, residential address, cell-phone number and e-mail address. There is one problem when it comes to contact information. Applicants generally give cell-phone numbers which are not working. So, it is essential that you give accurate numbers.
Other than that, you have to specify information regarding your loan. Mention the kind of loan you want. If you want to avail private party auto loans, choose the relevant option. Donít forget to mention the application type Ė single or joint.
Social Security Number
The most basic requirement for applying online is having a Social Security Number. It will be required by the lender to run a credit check. It is essential that you choose a reputable online company because you just cannot give your SSN to any shady lender.
Employment and Income Details
Your part-time job can also help you get auto loans. Generally, lenders want you to have stable employment for at least one year.Now, donít worry if you are employed for less than that. There are certain companies that provide loans even if you are employed for six months.
Lenders want you to be capable of making regular monthly payments. So, they do have a minimum income requirement. It is essential that you at least earn gross$ 1,000 per month.
Pay stubs can be used as a proof for showing your employment status.
Generally, students have a zero credit score. This often creates problem because most companies donít have the option of zero credit in their forms. So while filling your form, you can choose average credit score. If your application gets accepted, you can then tell the lenderís representative about your situation.
Student Identity Proof
Most lenders donít require college/ university details at the time of filling the application form. You are supposed to tell everything when the company representative calls you. The lender will require your Student Identity proof at the time of signing the contract.
So, this is how you can fill the application form. Once you fill it, the lending company will contact its group of lenders. They will bid for your application and then the lender with the best deal will call you.
So, donít wait for anything now. Log in to your personal computers and get a real opportunity of driving your car.
All the Best!