Buying a car is an exciting experience, but it can also be a daunting one. With so many options available, it can be difficult to know where to start.
One of the most important things to consider is how you will finance your purchase. It's also tricky to know whether you should look to do that online, over the telephone or in person with a dealer.
Do you have a car on finance and would like to reduce your monthly repayments? Sign up with Car Credible today; we could help you save money on your deal.
In this article, we will explore the benefits of getting car finance before choosing a car, and provide a comprehensive guide to help you make an informed decision.
Benefits of Getting Car Finance Before Choosing a Car
Know Your Budget
Getting car finance before choosing a car allows you to know your budget upfront. It means you will not waste time looking at vehicles out of your price range. It also allows you to prioritise features that are important to you, such as safety, fuel efficiency, or technology.
Negotiate with Confidence
When you have pre-approved car finance, you can negotiate with confidence. You know exactly how much you can afford to spend, and you can use this information to negotiate a better price. It can save you money in the long run and help you get the best deal possible.
Getting car finance before choosing a car can streamline the car-buying process. You can focus on finding the right motor without worrying about the financing.
Not only that, but it can save you time, and means you don't need to worry about intricate finance details when you are close to securing the vehicle.
How to Get Car Finance Before Choosing a Car
Check your credit score
Your credit score plays a significant role in obtaining car finance. Before applying for car finance, you should understand your credit score and what you could realistically obtain.
Knowing this information will give you an idea of what interest rates you can expect and help you determine if there are any errors on your credit report.
Shopping around for car finance is essential, as different lenders have different interest rates and loan terms. By shopping around, you can find the best deal for your needs.
Our car finance calculator works to help you discover your affordability when it comes to taking out a car finance deal.
Once you’ve found a lender that offers favourable terms, you can apply for pre-approved car finance. Pre-approval means the lender has agreed to lend you a certain amount of money for a car purchase. This gives you the confidence to negotiate with dealers and focus on finding the right car.
Choose the right car
Once you have pre-approved car finance, you can focus on finding the right car. It’s important to consider your needs and priorities. Do you need a car for commuting, taking the children to school, or for general day-to-day use? What features are essential to you? By considering these factors, you can choose a car that meets your needs and fits your budget.
Tips for Choosing the Right Car
Research your options
Researching your options is essential when choosing a car. You can read reviews, compare prices, and test-drive different models. It will help you make an informed decision and find a car that meets your needs.
Consider resale value
The resale value which includes how much your car will be worth after depreciation, is an important factor to consider when choosing a car. Cars that hold their value well can save you money in the long run.
Car Credible can help you understand how much your car is worth and how much you can expect it to lose its value over time.
Getting car finance before choosing a car can save you time, money, and stress during the car buying process.
By knowing your budget upfront, you can prioritise important features, negotiate confidently, and streamline the car buying process.
By following the steps outlined in this guide, you can make an informed decision and find a car that meets your needs and fits your budget.