Frequently Asked Questions

You have questions, we have answers. Auto loan frequently asked questions:

What is a credit score?

A credit score is a number, usually between 300 and 850, that credit bureaus use to track your credit history. The higher the score the better off you will be. Lenders will use this number as the main factor in determining your insurance rate. The lower your score, the more you will have to pay. Get your free credit report at www.creditreports.pro
 
What if my credit score is too low?

If you have been denied a loan due to your credit score you can get a co-signer to sign your loan our you can try and improve your credit rating and apply for the loan later.

What is 0% APR?

0% APR is when you are not charged any interest over the life of your loan. Your loan is usually shorter, resulting in higher monthly payments. You also need a certain credit rating to be able to be approved for 0% APR. Look for hidden costs that are a lot of times associated with 0% APR.

Why are interest rates higher for used cars?

Used cars have higher risk then older cars, which causes the interest rate to be higher.

What does default mean and what happens if I do it?

Defaulting on your loan payments mean you stopped paying your loan payment. If you default on your payment the lender has the right to take possession of your car.

Why should I refinance my auto loan?

Refinancing your auto loan can lower your interest rate and monthly payments. Interest rates are at all time lows so it is a good idea to refinance even if your monthly payments are not a problem for you right now.

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