It’s everybody’s dream to have their own car to drive around. Irrespective of the quality of a public transportation system in the area, having your own car can solve a number of different problems. With your own car, you can move around, buy, sell and rent your car as you wish. Unfortunately, not everyone has the requisite finances to buy a vehicle; instead most people opt for an auto finance to buy their prized car.
If you are going for auto finance option to purchase your vehicle, there are certain things that you need to make sure of. This article outlines an auto finance checklist.
Proof of Address
When you are filling in your details for an auto finance application, you need to make sure that you have a tangible proof of address. The lender will always want to double check where you live and simply giving them an identification document that outlines your permanent address is not enough. A utility bill that you have recently paid can act as a tangible proof of your current address.
Emergency Contact Information
This is not to make sure that you are safe and sound and that if anything was to happen to you, your emergency contact can be contacted to notify about your state. When a lender asks you for your emergency contact information, they are basically asking you to outline a person who they can contact in case you go AWOL and miss your payment schedule. Remember to update your emergency contact information if the person changes address or phone number.
Information about the Car Insurance
When you are auto financing your vehicle, you are basically asking the lender to buy a car for you and you are paying them back on monthly instalments to use that car and to take ownership of the car at the end of the loan repayment. Any lender who is looking to buy a car for you will want assurances and protection of their investment and car insurance is one way of doing that. Lenders give you chance to get a car insurance as you see fit, if you can’t they will do it themselves and send you the bill.
Information of the Seller
The lender is essentially the buyer of the vehicle until and unless you have made your payments and you have completely repaid the loan. Hence, as a buyer, before they approve your auto finance request they will need to ask you for all the information about the seller. Ideally, they will contact the seller and look at their credentials before agreeing to lend you the money.
Specifics about the Car
Again, this is simple and understood. You cannot expect a lender to approve a loan application before they know all about the vehicle. Once you have gotten a pre approval for an auto-finance from the lending agency, you will be required to outline the specifics about the car, the model, the make, etc. for the car.
These are some of the things that you need to take into account when getting auto finance.