No matter what type of asset you’re trying to finance, whether it is a car, boat, motorbike or caravan, there are many reasons why getting a finance pre-approval is a good idea. In this article, we’ll run through why getting a pre-approval not only reduces the hassle and stress of purchasing a vehicle but also helps to keep you on track throughout the process.
1. It helps you to get the best rate and not just ‘what the dealer gives you’
If you arrange a pre-approval prior to going to a dealership, you can avoid getting ‘locked in’ to dealer finance. Dealerships generally only deal with one or two lenders who may not provide the best rates or cater for all individual profiles. Here at Loans For U, we have established relationships with over 40 of Australia’s most trusted bank and non-bank lenders to make sure you have the best finance options available to you. We compare hundreds of products from dozens of lenders to find low-rate, affordable finance that suits your needs.
2. It reduces your risk of emotional buying or spending outside your means
By having a pre-approval in place, you know exactly how much you have to spend and exactly what your repayments will be. It minimises the chance that you will get caught up in the dealerships sales pitch and add every single available extra and accessory to your car even though you don’t really ‘need’ a cargo organiser, first aid kit and tow ball for your mini.
3. It makes a great bargaining chip and helps you get a good deal
Having a pre-approval is like having the money ‘in your back pocket’. Whether you’re looking at buying a vehicle from a dealership or through a private seller, it tells them you’re a serious buyer and are ready to make a purchase when they know you have a finance pre-approval.
4. Reduces stress and frustration down the line
Having a pre-approval means you don’t have to worry whether you will be able to get approved once you find the perfect vehicle. It allows you to act right away and secure the perfect vehicle and best deal for you. With your pre-approval, you will know how much you can spend and what your repayments will be, so you can plan and budget accordingly.
5. You’re not locked into anything and can purchase from any seller
One of the downsides of dealership finance is that you must purchase from their dealership. So if they approve you for a vehicle and you then find one that better suits your needs or represents a better deal, you are left with no finance option and an unnecessary enquiry on your credit file. Too many enquiries on your credit file can hinder your ability to get low-rate finance and in some cases, any finance at all.
Arranging a finance pre-approval through Loans For U means that you can buy a vehicle from any seller, whether it be a dealership or private sale and if you decide you don’t want to proceed at all, that’s completely ok, you’re under no obligation to. Even after you’ve been pre-approved, it is still obligation-free.
So if you’re thinking about financing a vehicle, whether you’re looking to finance a car, boat, jet ski, motorbike, caravan or recreational vehicle, speak to the friendly team at Loans For U today on 1800 538 287 or get your instant online quote now. Our specialist Finance Consultants can arrange low-rate, affordable finance for any type of vehicle with same-day pre-approvals.