There are lots of perks to buying a used car, especially cost-wise. With used car financing, you can buy a new-to-you car with comfortable monthly payments. We’re outlining the best ways to improve your chances of getting approved for funding at MileOne Autogroup.
Check Your Credit Score
A good credit score can be a game-changer when it comes to financing. If you don’t know where your credit stands, checking your score is essential. If your score is low, check to see if there are any areas that you can address before you apply.
Make a Down Payment
Typically, experts recommend that you aim to make a down payment of at least 20 percent when you purchase a vehicle. Although this isn’t a must, it can give lenders peace of mind, because they can see you have the funds to pay a loan. Plus, it can help you avoid becoming upside down in your loan.
Opt for a Shorter Term
Lenders are also more likely to work with buyers who choose a short-term loan. Generally, it’s recommended to aim for a four-year loan. This way, lenders can be confident that your loan won’t outlive your vehicle.
Shop with a Budget
The total cost of the vehicle is also a key factor when you’re applying for a loan. If possible, you should strive to keep your debt-to-income ratio under 36 percent. You also want to try to keep your auto payment and expenses under 20 percent of your monthly take-home pay.
Apply for Used Car Financing at MileOne Autogroup
We have a convenient financing process at MileOne Autogroup. You can apply by answering just a few quick questions. Stop by any of our convenient locations to get started today!