First Time Car Buyer Loans How to Qualify for That First Auto Loan

Driving away in your very first car is one of the most exciting purchases of life, especially if it is the first time you have ever purchased a car. As with any first time things, it might just be a daunting task attempting to understand all of the items related to financing and buying a car. If you have just started with a new job or just out of college a car to drive will be a necessity.

The only two options to get your dream car are either to pay cash for it or financing. The reality is for the student or first time car buyer buying an automobile with cash is out of their reach and with limited or no credit score track record, it in reality gets difficult to secure vehicle financing. Sooner or later, it might be straight forward to qualify for a car loan financing if they consider few different factors before applying which can increase their chances of being approved for a initial car loan. Below are few known but important questions which a person who is a first time buyer needs to deliberate before applying for car loan financing.

Should I fill out an application for New or used Car?
Being right out of a university or a first time car buyer, it becomes your prime concern to know which car would be best for you, when you are still juggling with your finances, paying back student loans and building credit. Both new and used cars have pros and cons of their own. Generally, used cars cost less than new cars due to the fact its already depreciated in value at the time of purchase as compared to new car which depreciates by 30 percent when they are driven off of the car dealers lot. Even if the price seems smaller, the rate of interest charged for used auto loan financing is most of the time higher due to decreased resale value, and risk of loss to the lender in situation of borrower’s default. Moreover, you need to keep in mind the maintenance and improving cost if you are thinking to acquire a used car since these cars are older it may cost you more to maintain the vehicle. Therefore, it would be recommended to take a mechanic with you while getting a used car. Be sure to ask the lender about an extended service contract that will protect you from mechanical breakdowns while you own the car. A little added peace of mind if purchasing a used car.

Do I need a co-signer?
The first time buyer will generally have nothing on their credit report which can be said as a plus in some cases rather than having negativity or problem credit score background. Nevertheless, due to their unproven credit worthiness for a lender it’s just like making a loan blindly. Most lenders will not make an auto loan to a first time buyer because of the high risk associated with it. The simple way to overcome this, would be finding a co-signer. A co-signer might be any individual who has an established credit score and agrees to make payments if the original debtor defaults by co-signing the loan papers. In this way, the lenders risk is divided between the very first time buyer and his co-signer. Most of the time a co-signer is a family member like a parent.

Do I have sufficient cash down?
This question may seem of less importance to the majority of people, but this has the major effect on the car purchase and financing. Putting up a sizable down payment can reduce your monthly car loan financing payments, which ultimately helps you staying within your budget. In addition to that, a minimum of 20% down can assist you in being upside down on your car, where you owe more on car than its worth. In this competitive market you can find lenders who will approve you for no money down car loans but not as a first time car buyer. The larger the down payment, the better odds you have of getting approved without a co-signer.

Can getting pre-approved help me?
Pre approved auto loans are always to your advantage. Purchasing pre-approved for a first car loan financing can be one of the super ways of assuring car financing and one with little effort on your part. By having that approval in your hand before stepping foot into the dealership will help you in the negotiations of that car you are purchasing as well.

There are several online finance sources for you to tap into. Many allow you to complete an application and get a loan decision within minutes. Getting that first time car loan can be scary, but with the right research and lending partner, you can be on the way in that new ride in no time. You can find more helpful information about car loans and refinancing online at OpenRoad Lending.

First Home Owners Grant Scheme and Home Loan Professional Package

First home buyers grant is given by NSW government to those who are eligible to buy first home in the market. The federal government has improvised this buyer’s grant in recent times to give an attractive selection for all the first home buyers.

The First Home Owner Grant Scheme(FHOGS) is totally sponsored by the HSW Government and supervised by the Office of State Revenue(OSR),. The first home buyers are assisted by this scheme which was established to buy their first home with a grant of $7000.

Regardless of their income, and the area where they are preparing to buy or build or the first home valuation, the first home owners are qualified to receive the grant. This grant is not earnings tested and no need to pay tax on it.

The Australian Government announced a First Home Owner Boost in October 2008, which supplements the NSW Government, funded First Home Owner Grant Scheme. According to the announcement from the Commonwealth:

First home buyers who purchase established homes will receive a boost of $7,000. These will double the first home buyers grant to $14,000.

First home buyers who have planned to build a new home or obtain a newly constructed home will get an extra $14,000. This will accumulate to $21,000 to first home buyers grant.

Home Loan Professional Packages: Like credit rating e.g. AAA, AA or A rating, a AAA credit rating means you have a superior credit profile. In an effort to attract people on higher incomes or those regarded as low-risk borrowers, lenders offer special loan deals known as professional packages to ‘reward’ these customers.

These packages are offered to a large range of purchasers with adequate income or collective loan size not like a long time ago where it was available to professionals like lawyers and accountants.

A Professional Package normally offers discounts of 0.2 to 0.7 per cent off lenders standard variable interest rate and nearly to 0.25 per cent off fixed interest rates based on the size of the loan

You can save on the rates discounts and also the professional package presents a range of other cut rates on financial records such as credit cards, transaction, margin loans and insurance.

Think about the favorable offers and non favorable things i.e., pros and cons of the professional package.

Pros of a Professional Package Home Loan are Fully featured account e.g. redraw, split loans, internet and phone banking, Interest rate discounts on the standard variable rate, You may be eligible for other benefits such as fee free transaction accounts and discounts on insurance products and Some Home Loan lenders also offer no establishment fees and no ongoing monthly fees on your loans.

The Disadvantages are an annual fee applies to this product.

 

Financing For a Mobile Home Getting Your New Double Wide is Not That Hard!

Are you getting sick of being told no whenever you try to get financing for a mobile home? Do you want to know where to look for the right loans and for the financing you need to get that new home you are after even if it is a mobile? There are ways to get the money you need and there are ways to find the lenders that will deal with you even if you do not have good credit. Here is what you must know about getting your loan.

First, if you are unable to find the lender that you need to either refinance your mobile or help you purchase a new one, then you are going to end up frustrated and it will not be a fun road to go down for yourself or your family. You really want to own a home and you really want to do it soon so you need the right lender and the lenders are out there for you.

Second, when it comes to financing for a mobile home there are several options that you can use depending on the structure, land, and other things that go along with the property. You have to understand all of your options and know which one is the best choice for you so that you get the type of loan you need to get the new mobile you are after. When it comes to financing for a mobile home you are the one that has to do the work in finding the loan.

Last, the place you can start that will help you find what you need is online with a search. This is a good way to go or if you can find a site that has a lot of good information and points you to some of the lenders that deal with mobile homes then you will be on the right track. The bottom line is the lenders are out there waiting for you so go find them already.

Click Here Now to find the lenders that will do your Mobile Home Loan !

 

Enlisting the Support of Home Improvement Loans to Create a New Look for Your Home

The desire to have a penthouse like the ones you pass by everyday grows stronger as you watch your own house. The drab looking interiors and the walls that need immediate repairs often produce a distaste for the home itself. However, the deficient finances ensure that you have to stay in the same home rather than shifting base to your dream home. You have the option however, to make the stay in the home much more pleasurable through a home improvement loan.

The home improvement loan is employed to give a new look to the home by creating extensions, changing the flooring, creating new interiors, and undertaking repairs. The home improvement loan easily compensates for the deficiency of resources on the part of the borrowers. Using ones personal resources for spending highly on home improvements will be difficult for an individual since there are other expenses too, that he has to make for subsistence and to maintain a particular standard of life. All these point to the convenience that a home improvement loan can result into. It puts into the hands of the individual enough resources to adorn his/ her home of as many features as they desire. Moreover, there is no need to repay the amount at once. The repayment of the home improvement loan is due in a certain specified period and the individual has the option to repay the loan in several instalments.

Having made the plans for the home improvements, you surely would not like to be kept waiting for the necessary finances. For this, a timely application for home improvement loan will be necessary. Before sanctioning a loan, loan providers will first ascertain the credibility of the applicant. This is done by studying the credit report of the borrower. The study of credit report illustrates the credit status of borrowers. If the home improvement loan is secured against home or any other asset as collateral, then a valuation of these assets will also be undertaken. These processes sometimes delay the approval of the loan. In order to ensure that you receive home improvement loan at an opportune time, the application must be made as soon as the budget for home improvements is ready.

The easiest but the vital most part of the home improvement loan process is the application stage. Application does not singly include the filling up of ones details for getting the Home improvement loans. There are various steps that lead to this stage in the process. The most important of these include finding the most appropriate lender for getting loan. Since there are many lenders operating in the UK, choosing one out of them will be tedious.

Especially so for the borrowers who are not much conversant with the ways of the loan providing agencies. Independent financial advisors are governed by the rules laid down by Financial Services Authority. They guide the borrowers into choosing appropriate loan providers after studying the case specifications of each individual case. The independent financial advisors can also be engaged to help during the other decisions that need to be made on the home improvement loan, such as the decision on the amount of home improvement loan quoted, decision on the monthly repayments, decision on the method of charging interest, etc.

Having chosen the loan provider, the borrower is now ready to apply. Online application is a relatively newer trend in the financial markets. Through an online application, borrowers can conveniently submit his/ her details from his home or office on a secure internet connection.

The improvements made in the home result in an increase in the equity in home. Opportunities for better deals in home improvement loans open up for the borrowers. A home that is held already by a mortgagee can be requested to finance the improvements in home through a home improvement loan. In most cases, the mortgagee will willingly accede.

Generally, homeowners draw home improvement loans for their own home. However, the loan is available for tenants who want to make improvements in the home they are residing. This is through an unsecured home improvement loan. Tenants are not the only beneficiaries of unsecured home improvement loans. Some of the homeowners who fear the repossession of their homes in cases of defaults too will desire an unsecured home improvement loan. This is despite the fact that unsecured home improvement loans are dearer than secured home improvement loans in terms of the interest charged.

A few restrictions may be imposed on the manner in which the proceeds of the home improvement loan is employed. Loan providers may restrict borrowers from using the amount, either the whole of it or a part of it, on any head other than home improvements. This however, is dependent on individual lending policy of the loan provider.

The knowledge must have dawned on you that there is little sense in moving home when you can conveniently create a similar look for your existing home through a home improvement loan. You only have to play your cards well in choosing an appropriate lender and in making vital decisions on the loan, and the home is ready to make others envious.

Andrew baker has done his masters in finance from CPIT. He is engaged in providing free, professional, and independent advice to the residents of the UK.He works for the Secured loan web site uk finance world for any type of uk secured and unsecured loan please visit