In Today's world it is very easy to get caught up in financing propaganda and to be pulled in to a very bad financing decision. If you want to build your credit..Stay away from a buy-here-pay-here options! Hopefully these simple tips and suggestions will help you make a better financing decision. 

The first step to getting an auto loan is to decide what vehicle makes the most sense for you. This may be a truck, car or SUV.  Then go to an auto website to see whats out there. Some good options are or Both of these provide great tools for doing research on vehicles. 

After you have decided what type of vehicle you need, it is time to figure out your budget. Most finance institutions use a simple equation to figure out what payment will work for you. This can lead to some big problems when it comes time to make a payment. Finance institutions take a percentage of your gross income and decide if that payment will work or not work for you. Some things they do not consider is dog food, hair cuts, vehicle repairs, birthday gifts, ect.. So keep in mind, make a budget and stick to it. A simple way to do this is take your total income and subtract all your bills and expenses and see what you have leftover. Make sure you still leave an emergency fund for any surprises. 

Once your budget is set and you have found the vehicle you have decided on, now it is time to do some research on what bank or credit union has the best rates and financing options. If you are a part of a credit union it is always worth checking their rates and terms first. If the dealership that has the vehicle you are considering offers financing make sure that they are either partnered with your credit union or have similar options. 

Once financing is set in place with the credit union or your dealership they will ask for stipulations. Stipulations may consist of a W2, check stub, utility bill or even proof over voters registration. The most important thing to remember is to not lie on your credit application about your income or time at job or residence. People that lie on their application most likely will get caught and not receive a loan. Make sure to have these items ready in case the lending agency needs them for funding. 

Finally, before signing paperwork or moving forward with your purchase, consider protection options. These can be warranty's or insurances for your vehicle to protect you down the road if anything were to happen. 

Thank you for taking the time to read our blog. Hopefully some of our suggestions will help you with your purchase. 

If you have any additional questions on finance please call 616-426-6230 or contact us on our website at 

We are here to help with your Auto Financing questions