Blank Check Auto Loans ? A Special Niche of Auto Financing

Blank check auto loan is that type of loan you get from a bank or other financial institution with the special purpose of buying a car. You will know the exact rate of interest you will have to pay and the term of loan for paying it off. When applying for this auto loan with pre approval auto loans it is important that you look for different lenders who can provide various offers. And, after comparing their offers, you choose the one that suits you better. The process of buying starts after getting fast approval car loan.

What are the advantages of a pre approved car loan?

The big advantage is that you know how much money you were approved so the buying would be easier because you know exactly what car you can afford and mostly what you can not afford. The future negotiation with the dealer would be in best terms for you as long as you almost have the money in your pocket. The seller would be disposed to give you discounted, incentives or other benefits in order to take your money. Don?t be surprised if he makes you the proposal of leaving the current loan for a new lending offer of his own.

Is a blank check always a cheap one?

As all the other loans, this type of loan can be a cheap or an expensive one. You get a best used car loan only if you have a great credit score or some assets, beside the car to buy, to put as future collateral. Or a cosigner that can back you up with his credit score.

But a bad financial situation can not give you the chance of getting a cheap loan, pre approved or not. And a car loan after bankruptcy car loan will always have high interest monthly payment no matter we are talking of a blank check auto loan or a traditional one.