Car enthusiasts keep buying new cars almost every
year. This means if you buy a car from them, it won’t be very old. Plus,
buying an automobile from an individual is better than a dealer because
you get car information directly from the horse’s mouth.
If you are interested in buying your next car from a
private seller, then you will need private party auto loans. The car
financing program gives freedom of buying a car from a person. Read this
expansive article and get ready to own a used car in an instant.
Know your Money inside out
Before taking any financial decision, you must
understand your financial situation. Most private party auto lenders
require you to earn at least two thousand dollars every month. They even
recommend no open bankruptcy. This is because they want you to make
regular payments without any risk. This shows affordability is very
important to lenders. So, it is essential to calculate your regular
income sources and expenses. Do consider any additional income/expense
in the coming months. It will help you to analyze your situation in a
better way.
Opt for a car loan only when you are hundred percent sure of managing it.
Are you eligible for Private Party Auto Loans?
Although every lender has different car loan approval
criteria, these are the most common set of requirements for getting
approval on private party auto loans:
1. You must have a valid SSN.
2. Time at Residence – You must be living at your current home for more
than six months. Also, you must have resided at your previous residence
for at least six months.
3. Time at Job – You must be employed at your current job for at least
six months. Minimum of six month criteria applies for your previous job
as well.
Search for the Perfect Car
Now, this may take a while but you shouldn’t lose
hope. Keep searching for the best automobile and rest only when you have
found the treasure. There are many ways of finding a private seller.
Ask your friend if he is interested in selling his car. Anyone from your
office might be willing to sell his automobile. So, don’t forget to use
that option as well. You can also use the web to search for used cars
with non-dealer option.
Vehicle Requirements
When you see a car, don’t forget to evaluate it from
the eyes of the lender. Here are few basic vehicle requirements for
getting approval on private party auto loans:
1. The Odometer Statement should not show more than 80,000 miles.
2. The car should not be older than 6 years.
3. The minimum loan amount should be $7,500.
Searching for the Lender
Now, you just need to find the perfect lender who can offer you private party auto loans.
You can take help of the internet. Remember to check the reliability of
lenders. Also, make sure that you consider the loan quotes on several
aspects like interest rates, APR, payment schedule, penalties, fees,
etc. Choose the auto financing program that fits your requirements.
